Hecla Mining To Acquire All Of Alexco That It Does Not Already Own
(RTTNews) - Hecla Mining Co. (HL) and Alexco Resource Corp. (AXU, AXU.TO) announced Tuesday a definitive agreement for Hecla to acquire all of the outstanding common shares of Alexco that Hecla does not already own.
Each outstanding common share of Alexco will be exchanged for 0.116 of a share of Hecla common stock implying consideration of US$0.47 per Alexco common share and a premium of 23%. Hecla will issue approximately 18 million common shares to Alexco shareholders.
In addition, Hecla will provide interim financing to provide working capital and ensure the development and exploration at Keno Hill continues to be advanced and subscribe for additional common shares bringing its ownership stake to 9.9%.
Hecla has also entered into an agreement with Wheaton Precious Metals Corp. (WPM) to terminate its silver streaming interest at Alexco's Keno Hill property in exchange for $135 million of Hecla common stock conditional upon the completion of Hecla's acquisition of Alexco.
Upon completion of both transactions, Wheaton Precious and Alexco shareholders will own approximately 5.6% and 3.0%, respectively, of the outstanding common shares of Hecla.
The Board of Directors of Alexco and Hecla have both unanimously approved the transaction. The Board of Directors of Alexco unanimously recommends that Alexco shareholders vote in favor of the transaction.
The Alexco-Hecla and WPM-Hecla transactions are each subject to applicable regulatory approvals and customary closing conditions. It is anticipated that the acquisition expected to close later that month.
Kroger Q2 Profit Rises, Backs FY26 Adj. Earnings View, Cuts Sales Growth Forecast; Stock Drops
UK Stocks Rise On GDP Growth, Oil Price Decline
French Stocks Rise On Oil Price Drop, Middle East Concerns Persist
Indian Shares End Off Day's Lows As Oil Prices Ease
German Stocks Move Modestly Higher As Oil Prices Fall Sharply
Gold Edges Higher As Oil Prices Ease After Recent Surge
Oil Prices Edge Lower As IEA Further Cuts Oil Demand Forecast
