Vizsla Copper To Acquire Universal Copper In All Stock Deal

Consolidation is beginning within the junior copper market. Vizsla Copper (TSXV: VCU) this morning revealed it has entered into a definitive agreement to acquire Universal Copper (TSXV: UNV).

Universal is said to currently hold one of the most advanced pre-production copper projects in BC, known as the Poplar Project. The project currently has a resource estimate of 152.3 million tonnes grading 0.32% copper, 0.09 g/t gold, 2.58 g/t silver and 0.009% molybdenum on an indicated basis, and a further 139.3 million tonnes grading 0.29% copper, 0.07 g/t gold, 4.95 g/t silver and 0.005% molybdenum on an inferred basis.

From a business combination perspective, the acquisition of Universal is expected to provide Vizsla shareholders with “exposure to a growing pipeline of projects,” which range from greenfield to brownfield development.

“With unprecedented demand for copper globally on the horizon, I’m very pleased that we’ve been able to execute again on our strategy of acquiring promising assets during a period of challenging junior equity markets,” commented Vizsla CEO Craig Perry.

Under the terms of the transaction, Universal shareholders will receive 0.23 Vizsla shares for each share held, with shareholders to hold 23.3% of the resulting company. The transaction amounts to $0.023 per share, compared to yesterdays closing price of $0.015 for Universal.

The acquisition remains subject to the approval of Universal’s shareholders. The combination is expected to close in the second quarter.

Vizsla Copper last traded at $0.10 on the TSX Venture.

Information for this briefing was found via Sedar and the companies mentioned. The author has no securities or affiliations related to this organization. Not a recommendation to buy or sell. Always do additional research and consult a professional before purchasing a security. The author holds no licenses.

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