Business
U.S. Silver and RX Gold & Silver announce proposed business combination to create a growth-oriented U.S. precious metals producer
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About this update from Americas Gold And Silver Corporation
[{"type":"text","content":"\n\n\n\n\n\n/NOT FOR DISTRIBUTION TO UNITED STATES NEWSWIRE SERVICES OR FOR\n DISSEMINATION IN THE UNITED STATES./\n\n\n- Conference Call Friday, June 8, 2012 at 11am EST (8am PST) - \n\n\nTORONTO, June 7, 2012 /CNW/ - U.S. Silver Corporation (TSX:USA)\n (USOTC:USSIF) (\"U.S. Silver\") and RX Gold & Silver Inc. (TSX-V:RXE) (OTCQX:RXEXF) (\"RX Gold\") are pleased to announce the signing of a definitive agreement to\n combine the two companies (the \"Transaction\") by way of a plan of arrangement.  The resulting company, to be called\n U.S. Silver & Gold Inc. (\"U.S. Silver & Gold\"), will be a well-funded, growth-oriented precious metals producer with\n U.S. Silver's producing Galena mine in Idaho, RX Gold's producing\n Drumlummon mine in Montana and U.S. Silver's Coeur re-development\n projects in Idaho.\n\n\nHighlights of the Transaction \n\n\nU.S. Silver shareholders to receive 0.670 U.S. Silver & Gold shares per\n U.S. Silver share, resulting in their effective ownership of\n approximately 70% of the combined company.\n\n\nRX Gold shareholders to receive 0.109 U.S. Silver & Gold shares per RX\n Gold share, resulting in their effective ownership of approximately 30%\n of the combined company.\n\n\nTwo - 100% owned U.S. based precious metal operations that deliver\n immediate cash and one silver re-development asset:\n\n\nCombined production base of 2.7 million1 ounces of silver and 26,5001 ounces of gold\n\n\nOpportunities for significant resource growth, brownfield development\n and operational and head office synergies\n\n\nMeaningful organic exploration potential at Drumlummon and Silver Valley\n areas\n\n\nGeographic concentration of assets that allows for near term focus on\n improving mine planning and execution of cost reduction strategies.\n\n\nProven board of directors and management team with significant executive\n experience in senior precious metals companies and the capability to\n deliver results in tough market conditions.\n\n\nImproved liquidity and capital markets profile, US$25 million in cash\n and capital markets relationships that position the larger, combined\n company for further growth through opportunistic and accretive\n acquisitions.\n\n\nUnanimous recommendations from the boards of both companies that\n shareholders vote for the Transaction.  The board and senior manag...