TORONTO, Oct. 8, 2015 /CNW/ - FISSION URANIUM CORP. (TSX:FCU)(OTCQX:FCUUF)(FRANKFURT:2FU) (the "Company"):
FISSION IGNORES SHAREHOLDERS' REQUESTS
G5 Incorporated, on behalf of FCU OverSight, is providing this follow up reminder to vote against the special resolution being put forward by management of Fission to effect a plan of arrangement with Denison Mines. The deadline for submitting your proxy voting against is tomorrow morning at 10:00 AM (Vancouver time) or 1:00 PM (Toronto time); however, if you intend to vote electronically, that deadline is midnight tonight (Toronto time).
DENIAL OF ACCESS TO SHAREHOLDERS
At the town hall meeting, and in several emails from our legal counsel to Fission's counsel, FCU OverSight, on behalf of all shareholders, have asked to be provided with a copy of the registered shareholders list and the NOBO shareholders list in order to allow FCU OverSight to communicate with other shareholders of the Company. Not only have these lists not been provided to date, our counsel's requests have been categorically ignored by Fission's counsel. Due to the looming proxy deadline, Fission has effectively stymied the ability of FCU OverSight to communicate with Shareholders of the Company.
WHO WILL CHAIR THE MEETING?
We have also requested an independent chairperson for the meeting on Wednesday, October 16, 2015 based on the obvious conflict of interest that Mr. Randhawa has on these matters. Not only will he be receiving continuing employment if this transaction goes through, there is a very generous retention package being offered to him and others valued at well over $1,000,000. As with the shareholders lists, our requests have been completely ignored. However, this may become unnecessary as it appears that Mr. Randhawa does not find it necessary to attend the meeting on Wednesday, effectively eliminating the ability of Fission shareholders to question Mr. Randhawa on the transaction itself, as well on his compensation arrangements.
SKELETAL FAIRNEES OPINION. HOW IS THIS FAIR?
FCU OverSight encourages you to read the fairness opinion. The effect of the fairness opinion is to state that, based on the share prices at the time of entering into the plan of arrangement agreement, the share exchange ratios are appropriate. You will see that the fairness opinion specifically states that in making that determination, there was no review or valuation done with respect to the assets of Fission or the actual value of the Company (other than market price).
DECREASE IN VALUE OF PATTERSON LAKE SOUTH
As you may be aware, one of the most significant shareholders of Denison is a Korean company named KEPCO. As is noted in Denison's public disclosure materials, KEPCO has a right of first refusal to acquire assets of Denison. The disclosure goes on to state that as a result, the value of those assets , and the value of the Company itself, may be lower than would otherwise be the case but for that right of first refusal. If the plan of arrangement proceeds, Patterson Lake South, Fission's gem asset, will become an asset of the combined Company and accordingly, subject to the KEPCO right of first refusal and, as noted by Denison, worth less than it would have been had it not been a Denison asset. It may, in effect, make PLS unsaleable at fair market value.
VOTE NO TODAY
It is imperative that you vote against the approval of the plan of arrangement and that you do so immediately so that your votes can be counted. For any questions or assistance with voting, please contact FCU OverSight at [email protected], on Twitter at @fcuoversight or visit our website at http://www.fcuoversight.ca
To ensure fair treatment, we encourage you not to contact Fission, or its proxy solicitors, Kingsdale, to obtain voting assistance.
SOURCE G5 Incorporated
For further information: For any questions or assistance with voting, please contact FCU OverSight at [email protected], on Twitter at @fcuoversight or visit our website at http://www.fcuoversight.ca