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Rush Rare Metals Corp ( (TSE:RSH) ) has shared an announcement.
Rush Rare Metals Corp. has entered into a renewed letter of intent with Myriad Uranium Corp. for a proposed merger under which Myriad would acquire all outstanding Rush shares via a statutory plan of arrangement, offering 0.5405 Myriad shares for each Rush share and converting Rush’s convertible securities into Myriad equivalents on the same exchange ratio. As part of the transaction structure, Rush will spin out its Boxi Property into a new subsidiary, Rush Spinco, whose shares will be distributed to Rush shareholders, while the merger is intended to consolidate 100% ownership of the Copper Mountain Uranium Project under Myriad, subject to court, shareholder, exchange and definitive agreement approvals; upon closing, Rush will become a wholly owned Myriad subsidiary and be delisted from the CSE, a move management believes will enhance value and market traction for stakeholders in the combined Copper Mountain asset and the new spinout vehicle.
Spark’s Take on TSE:RSH Stock
According to Spark, TipRanks’ AI Analyst, TSE:RSH is a Underperform.
Rush Rare Metals Corp faces significant financial challenges due to lack of revenue and ongoing losses, which heavily impacts its overall score. Although the balance sheet is stable with strong equity and no debt, the negative cash flow situation poses a risk to its financial health. Technical analysis indicates weak market momentum with bearish trends, and the absence of valuation metrics due to no earnings further highlights the speculative nature of the stock.
To see Spark’s full report on TSE:RSH stock, click here.
More about Rush Rare Metals Corp
Rush Rare Metals Corp. is a mineral exploration company focused on its Boxi Property in Québec, Canada, and the Copper Mountain Uranium Project in Wyoming, USA, which it has optioned to Myriad Uranium Corp. The company currently holds a 100% interest in Boxi and a 25% interest in Copper Mountain, positioning it within the uranium and critical minerals exploration space in North America.
Average Trading Volume: 66,428
Technical Sentiment Signal: Buy
Current Market Cap: C$8.11M
For an in-depth examination of RSH stock, go to TipRanks’ Overview page.