Toronto, Ontario--(Newsfile Corp. - July 13, 2022) - A copy of the full report is available to read by following the link to the full report below:
https://mailchi.mp/mineralfunds/mergers-acquisitions-report-july-13-2022
This report provides a summary of Gold & Precious Metal Funds that hold:
1) The Acquirer only: 2) The Acquired Company only: | Hecla Mining Company (NYSE: HL) Alexco Resource Corp. (NYSE: AXU) (TSX: AXU) |
3) Both the Acquirer and the Acquired Company |
On Tuesday 5th July 2022, Hecla Mining Company (NYSE: HL) (Hecla) and Alexco Resource Corp. (NYSE: AXU) (TSX: AXU) (Alexco) announced a definitive agreement wherein Hecla is to acquire all of the outstanding common shares of Alexco not already owned by Hecla. Each outstanding common share of Alexco is to be exchanged for 0.116 of a share of Hecla common stock. This implies a consideration of US$0.47 per Alexco common share, which is a premium of 23% based on the companies' NYSE traded 5-day volume weighted average price calculated on 1st July 2022. In addition, Hecla will (i) provide interim financing to provide working capital and ensure the development and exploration at Keno Hill continues to be advanced and (ii) subscribe for additional common shares bringing its ownership stake to 9.9%.
Hecla has also entered into an agreement with Wheaton Precious Metals Corporation (WPM) to terminate its silver streaming interest at Alexco's Keno Hill property in exchange for US$135 million of Hecla common stock conditional upon the completion of Hecla's acquisition of Alexco.
Hecla is providing Alexco with a US$30 million secured loan facility and is purchasing 8,984,100 Alexco Shares at C$0.50 per share, having an aggregate value of C$4,492,050, which will result in 9.9% of Alexco Shares being held by Hecla or its affiliates.
Benefits to Hecla Shareholders
Benefits to Alexco Shareholders
6 Funds show as holding Alexco Resource Corp. (NYSE: AXU) (TSX: AXU) exclusively, and will be the principal performance beneficiaries from this transaction:
Funds Holding:
Source: https://mineralfunds.com/gold-funds/
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For further information please contact:(416) 525 - 6869[email protected]
Report prepared by: Kay Samnani, Analyst and Christopher J. Berlet BSc, CFA
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/130777