| Tue 6 Mar 2012, 7:56 | | FUM - First Uranium Corporation - First Uranium unsecured convertible |
|
FUM
FIU
FUM - First Uranium Corporation - First Uranium unsecured convertible
debentures to trade interest flat immediately and secured convertible notes
to trade interest flat following March 31, 2012 interest payment
First Uranium Corporation
(Continued under the laws of British Columbia, Canada)
(Registration number C0777384)
(South African registration number 2007/009016/10)
Share code: FUM
ISIN: CA 33744R1029
FIRST URANIUM UNSECURED CONVERTIBLE DEBENTURES TO TRADE INTEREST FLAT
IMMEDIATELY AND SECURED CONVERTIBLE NOTES TO TRADE INTEREST FLAT FOLLOWING
MARCH 31, 2012 INTEREST PAYMENT
TORONTO AND JOHANNESBURG - March 5, 2012 - First Uranium Corporation (TSX:
FIU) (JSE: FUM) (ISIN: CA33744R1029) ("FIU" or the "Company") announced on
March 2, 2012 that it had entered into agreements with respect to two
separate transactions providing for the sale of Mine Waste Solutions and its
subsidiaries ("MWS") and its Ezulwini Gold Mine and related assets
("Ezulwini") and its intention to hold shareholders, debentureholder and
noteholder meetings to approve these transactions and a reorganization of
the Company (the "Transactions").
The Company has outstanding approximately Cdn $150 million aggregate
principal amount of 4.25% Senior Unsecured Convertible Debentures
("Debentures") due June 30, 2012, issued pursuant to the Debenture Trust
Indenture ("Debenture Indenture") dated May 3, 2007. In order to complete
the Transactions, certain amendments to the Debenture Indenture must be
approved by the Debenture holders (and, if required, the shareholders of the
Company), with such securityholders required to agree, inter alia, that no
interest on the Debentures will accrue following the March 2, 2012
announcement date of the Transactions, assuming the completion of both the
MWS transaction and the Ezulwini transaction.
All trades in the Debentures commencing on March 6, 2012 and until further
notice will trade on an interest flat basis and the Toronto Stock Exchange
will not report accrued interest regarding any such trades to participating
organizations. All trades made from and including December 31, 2011 (which
was the last interest payment date on the Debentures) to the close of
business on March 2, 2012 were completed on an accrued interest basis (the
"Outstanding Interest Obligation"). The Outstanding Interest Obligation
will be paid by the Company upon closing of both the MWS transaction and the
Ezulwini transaction. If the Transactions are not completed as announced,
interest obligations with respect to the Debentures will be due and owing as
currently specified in the Debenture Indenture.
In addition, the Company has outstanding Secured Convertible Cdn $110
million Notes due March 31, 2013 (the "Canadian Notes") issued pursuant to a
Canadian note indenture dated April 8, 2010 (the "Canadian Note Indenture")
and Secured Convertible ZAR 418.6 million Notes due March 31, 2013 (the "ZAR
Notes" and together with the Canadian Notes, the "Notes") issued pursuant to
a Rand note indenture dated April 23, 2010 (the "Rand Note Indenture" and
together with the Canadian Note Indenture, the "Note Indentures"). The
interest payment for the period from October 1, 2011 up to and including
March 31, 2012 will be paid in cash on April 2, 2012. In order to complete
the Transactions, the Company will hold a meeting of the Note holders (and,
if required, the shareholders of the Company), with such securityholders
required to approve amendments to the Note Indentures to agree, inter alia,
that no interest will accrue after March 31, 2012, assuming the completion
of the MWS transaction. If the MWS transaction is not completed as
announced, interest obligations with respect to the Notes will be due and
owing as currently specified in the Note Indenture.
The Notes will trade on an interest flat basis from April 2, 2012.
For further information, please contact
John Hick or Mary Batoff
(416) 306-3072
mary@firsturanium.ca
Sponsor: Investec Bank Limited
06 March 2012
Cautionary Language Regarding Forward-Looking Information
This news release contains and refers to forward-looking information based
on current expectations. All other statements other than statements of
historical fact included in this release are forward-looking statements (or
forward-looking information). The Company`s plans involve various estimates
and assumptions and its business and operations are subject to various risks
and uncertainties. For more details on these estimates, assumptions, risks
and uncertainties, see the Company`s most recent Annual Information Form and
most recent Management Discussion and Analysis on file with the Canadian
provincial securities regulatory authorities on SEDAR at www.sedar.com.
These forward-looking statements are made as of the date hereof and there
can be no assurance that such statements will prove to be accurate, such
statements are subject to significant risks and uncertainties, and actual
results and future events could differ materially from those anticipated in
such statements, including without limitation, the statements regarding the
proposed transactions with Gold One International Limited and AngloGold
Ashanti Inc. No assurance can be given that the Company will be successful
in concluding the proposed transactions and achieve the desired results.
Accordingly, readers should not place undue reliance on forward-looking
statements that are included herein, except in accordance with applicable
securities laws.
Date: 06/03/2012 07:56:06 Produced by the JSE SENS Department.
The SENS service is an information dissemination service administered by the
JSE Limited (`JSE`). The JSE does not, whether expressly, tacitly or
implicitly, represent, warrant or in any way guarantee the truth, accuracy or
completeness of the information published on SENS. The JSE, their officers,
employees and agents accept no liability for (or in respect of) any direct,
indirect, incidental or consequential loss or damage of any kind or nature,
howsoever arising, from the use of SENS or the use of, or reliance on,
information disseminated through SENS.
