The effort by Australian-listed Paladin Energy [ASX:PDN] to acquire Fission Uranium TSX:FCU, the TSX-listed uranium explorer, has seemingly been blocked by a major Chinese investor in Fission. CGN Mining is a subsidiary of China General Nuclear Power, which currently controls an 11.26% stake in Fission Uranium.
The deal has been in the pipeline for some time now, with Paladin announcing back in June that it wanted to acquire Fission Uranium for USD 845mn. It needed the approval of two thirds of Fission’s shareholders to get the deal over the line however.
The acquisition, if successful, would create the third largest publicly-traded uranium stock in the world. Paladin had already committed to listing the new entity in Canada. The combined group would be worth approximately USD 3.5bn and could be responsible for around 10% of total global uranium output.
The deal is now in front of the courts in British Columbia with hearings due…
