Uranium One shareholders support ARMZ sale

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TORONTO — Uranium One Inc. shareholders voted on Tuesday in favor of a deal to sell a controlling stake in the company to Russian state-owned miner ARMZ in exchange for cash and shares in two Kazakh mines.

At the meeting held in Vancouver, 95% of the total votes cast supported the deal, while about 92% of votes cast by shareholders other than ARMZ and its affiliates were in favor, Uranium One said.

The deal, first announced in early June, will see ARMZ pay Uranium One US$610-million in cash, plus a 50% interest in the Akbastau uranium mine and a 49.67% in the Zarechnoye mine.

In exchange, the division of Russian nuclear-giant Rosatom will increase its ownership in Uranium One to 51% from 23%.

Uranium One shares have gained 61% in recent weeks. They closed at $3.52 on Tuesday, well above the $2.19 the day after the ARMZ deal was announced.

Uranium One expects to close the deal, which still requires regulatory approvals by the end of the year.