Greenridge Exploration Announces Letter of Intent to Acquire ALX Resources Corp.

Core Viewpoint - Greenridge Exploration Inc. has signed a non-binding letter of intent to acquire ALX Resources Corp., aiming to create a leading Canadian uranium exploration company with a diversified portfolio of strategic metals projects [4][5]. Group 1: Proposed Transaction Details - The acquisition will involve Greenridge acquiring all outstanding common shares of ALX, resulting in a combined entity with interests in 28 projects covering approximately 493,000 hectares [4][5]. - The transaction is characterized as an arm's length deal, enhancing the capital markets profile with an expected market capitalization of approximately C$35 million [5]. - ALX shareholders will receive a significant premium of 130% based on the 20-day VWAP of ALX shares, with an exchange ratio of 0.045 Greenridge shares for each ALX share [8][19]. Group 2: Strategic Rationale - The merger will consolidate one of the largest uranium property portfolios in the Athabasca Basin, including significant projects like Black Lake and Gibbons Creek, which have shown promising uranium mineralization [5][9]. - The combined entity will also have exposure to lithium, nickel, copper, and gold properties, diversifying its mineral portfolio [5][14]. - The transaction is expected to yield material cost savings through the consolidation of corporate operations and investor relations activities [5]. Group 3: Management and Governance - Post-transaction, the Board of Directors will include members from both companies, with Warren Stanyer from ALX joining as President and Director of Greenridge [18]. - Russell Starr will continue as CEO of the combined entity, ensuring continuity in leadership [18]. Group 4: Project Portfolio - ALX's uranium project portfolio includes key properties such as Hook-Carter, Black Lake, and Gibbons Creek, which are located in prime uranium exploration districts [9][28]. - The combined portfolio will enhance exploration capabilities and discovery potential across various strategic minerals [5][9].