UEX tops up treasury

Vancouver – Moving to capitalize on market appetite for uranium explorers, UEX (UEX-T, UEXCF-O) has lined up a $42 million financing.

The planned underwritten private placement, led by Dundee Securities and including CIBC World Markets plus Sprott Securities, will have the company selling 6 million common shares at $5.00 per share and 2 million flow-through common shares at $6.00 apiece.

Proceeds will build UEX’s cash position to over $84 million, earmarked for ongoing exploration drilling and development of its Athabasca Basin projects.

With the financing announcement, shares of the advanced uranium explorer traded in the $5.30 per share range, an all time high for the stock. UEX posts an almost $900 million market capitalization based on its 169.3 million shares outstanding, with Cameco (CCO-T, CCJ-N) maintaining a 21.7% interest in the company.