Canadian firms Denison Mines and Fission Uranium have terminated their C$483m ($381.9m) merger agreement following opposition from shareholders.
As part of the agreement signed in July, the companies were to combine their businesses in a court-approved plan of arrangement.
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At the deadline for submission of proxies, the shareholders of Denison strongly supported the arrangement.
While many of the Fission shareholders voted in favour, the required two-thirds approval was not obtained, Denison said.
The deal was aimed at creating a leading Canadian focused diversified uranium company with an asset portfolio that would have included Fission’s 100%-owned Patterson Lake South Project, and Denison’s 60%-owned Wheeler River Project in Canada.
At the time, Fission Uranium chairman and CEO Dev Randhawa said: "Denison has a strong, diversified portfolio and, with the Triple R deposit, Fission is bringing the Athabasca Basin’s largest undeveloped high-grade resource as well as a successful and award-winning technical and management team."
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By GlobalDataIf successful, the combined company would have been named Denison Energy Corp and had an estimated market value of around C$900m.
Recently, Denison Mines announced that independent proxy advisory firms Institutional Shareholder Services and Glass, Lewis & Co have recommended that shareholders of both companies vote for the plan of arrangement to combine the two companies.
