Idaho Strategic Resources, Inc. cancelled the acquisition of Westwater Resources, Inc..
February 13, 2023
Share
Idaho Strategic Resources, Inc. (NYSEAM:IDR) submitted an unsolicited proposal to acquire Westwater Resources, Inc. (NYSEAM:WWR) for $67.2 million on December 15, 2022. As of December 19, 2022, the Board and management determined that the proposal is not in the best interests of the Company to pursue further. As IDR lacks sufficient financial resources to advance its business, and would likely siphon resources from Westwater to fund unproven exploration projects; lacks the resources to complete Phase I construction of the Kellyton Plant; and cannot even cover the transaction costs associated with own proposal. As of January 25, 2023, Idaho sent a letter to the Board of Directors to acquire all of the outstanding shares of common stock of Westwater at a ratio of 0.2353 Idaho Strategic shares for 1 WWR share is attractive and compelling. It values Westwater at approximately $1.36 per share.
Idaho Strategic Resources, Inc. (NYSEAM:IDR) cancelled the acquisition of Westwater Resources, Inc. (NYSEAM:WWR) on February 14, 2023. Idaho Strategic Resources has withdrawn the proposal due to the Board of Directors of Westwater's continued unwillingness to constructively engage in discussions around a potential combination.
Idaho Strategic Resources, Inc. is engaged in the business of exploring for, developing, and extracting gold, and to a lesser extent, silver, and base metal mineral resources in the Greater Coeur dâAlene Mining District of North Idaho. It produces gold at the Golden Chest, located in the Murray Gold Belt area of the Coeur dâAlene Mining District, north of the prolific Silver Valley. It conducts its surface and underground mining operations at its 100 % owned Golden Chest Mine and conducts milling operations at its New Jersey Mill. The Golden Chest Mine is the Companyâs only production stage mine and comprises an underground mine, an open pit mine, and an exploration property located about 1.5 miles east of Murray, Idaho and includes 86 patented mining claims (1,322 acres) and 217 unpatented claims. The New Jersey Mill is a fully permitted, 360-tonne per day, flotation mill and concentrate leach plant located two miles east of Kellogg, Idaho, in the Coeur dâAlene Mining District.