Vimy Resources shareholders have voted overwhelmingly in favour of a proposal for Deep Yellow to acquire all of the shares in Vimy.
Vimy will seek approval by the Supreme Court of Western Australia at a second court hearing scheduled for 26 July 2022. If the court approves the scheme, Vimy intends to lodge it with the Australian Securities and Investments Commission on 27 July 2022 so that the scheme will become effective on that date. If this occurs, Vimy shares will be suspended from trading on ASX the same day.
Implementation of the scheme is expected to occur on 4 August 2022, subject to the satisfaction or waiver of the remaining conditions precedent to the scheme.
Under the terms, Vimy shareholders will receive 0.294 Deep Yellow shares for every one of theirs. Upon implementation of the scheme, Vimy shareholders will hold 47 per cent of the enlarged Deep Yellow.
The merger will create a new global uranium player with significant scale and cash resources, one of the largest uranium Mineral Resource inventories globally (389Mlb) and two advanced, world-class assets in Tier-1 uranium mining jurisdictions.
The main focus of the merged entity will be Vimy’s Mulga Rock development, an open-pit uranium mining project near Kalgoorlie WA, and Deep Yellow’s Tumas project in Namibia.