Another leading Independent Proxy Advisory Firm recommends First Uranium shareholders support asset sales
TORONTO AND JOHANNESBURG, May 30, 2012 /PRNewswire/ – Independent proxy
advisory firm Glass, Lewis & Co., LLC recommended today that
shareholders of First Uranium Corporation (TSX:FIU), (JSE:FUM)
(ISIN:CA33744R1029) vote in favour of two asset sales approved by First
Uranium’s board of directors.
Glass Lewis concluded in its report that “there is, on balance,
sufficient cause for shareholders to support the contemplated
Glass Lewis’ advice follows a similar recommendation by Institutional
Shareholder Services (ISS) released May 29, 2012.
As has been previously communicated, First Uranium’s board of directors
first announced on March 2, 2012 the sale, through two subsidiary
holding companies, of its Mine Waste Solutions operation, and the
Ezulwini mine, to AngloGold Ashanti Ltd. and Gold One International
Ltd. for $335 million and $70 million respectively. Both operations are
located in South Africa.
First Uranium shareholders are due to consider the proposed transactions
at a special meeting on June 13, 2012.
Responding to the two independent proxy firms’ reports, First Uranium’s
lead independent director, John Hick, said: “Gaining support from both
Glass Lewis and ISS underscores the benefits of the transactions. These
recommendations are clear evidence that First Uranium’s board is acting
in the best interest of all shareholders.”
The Glass Lewis report says that “the board’s process was sufficiently
robust to ensure that substantially all capable and interested buyers
had an opportunity to express an interest in the assets to be
Like ISS, Glass Lewis questions the feasibility of other courses of
action proposed by some shareholders: “Given the uncertainties of (the
gold and uranium) markets and the very limited time frame in which
First Uranium must complete a strategic transaction, we do not find the
potential benefits of rejecting the current reorganization in any way
mitigate the overwhelming risks and costs attendant to a bankruptcy
First Uranium’s board unanimously recommends that shareholders and
debtholders vote FOR the transactions.
Shareholders and debtholders are reminded to vote their proxy FOR the transactions and all related proposals before the proxy voting
deadline on Monday, June 11, 2012 at 5:00 p.m. (Toronto time).
If you have any questions about the information contained in the
management information circulars or require assistance with voting your
securities, please contact Kingsdale Shareholder Services Inc. by
telephone at 1-866-581-1571 toll-free in North America, or at
1-416-867-2272 outside of North America (collect calls accepted), or by
email at firstname.lastname@example.org.
About First Uranium Corporation
First Uranium Corporation (TSX:FIU, JSE:FUM) operates the Ezulwini Mine,
an underground mining operation, and Mine Waste Solutions (MWS), a
tailings recovery facility. Both operations are situated in South
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 Limited.
Accordingly, readers should not place undue reliance on forward-looking
statements that are included herein, except in accordance with
applicable securities laws.
SOURCE First Uranium Corporation