COBALT: First Cobalt offers $150M for US Cobalt

[caption id="attachment_1003722409" align="aligncenter" width="484"] Cobalt bloom or erythrite – Co3(AsO4)2●8(H2O) – from the Iron Creek project in Idaho. (Image: U.S. Cobalt)[/caption] TORONTO – First Cobalt is making an all-share offer for U.S. Cobalt of Vancouver. The deal is worth an estimated $149.9 million. First Cobalt is offering to exchange each U.S. Cobalt share for 1.5 First Cobalt shares. The exchange ratio is a 61.8% premium on U.S. Cobalt’s closing price and a 58.5% premium on both companies’ five-day volume weighted average trading prices as of March 13, 2018. U.S. Cobalt has two cobalt exploration stage projects in the United States – Iron Creek in Idaho and Paradox Basin in Utah. The company is also testing the Deep Valley lithium property in Nevada For its part, First Cobalt is one of the most active juniors in Northern Ontario, specifically near the town of Cobalt, site of many historic silver-cobalt mines early in the last century. The company is also owner of the only permitted cobalt refinery capable of producing battery materialin North America. That plant is also in Cobalt. (See the February 2018 issue of CMJ.) First Cobalt president and CEO Trent Mell said of the deal, “This transaction creates a larger platform to discover and develop cobalt projects for the growing electric vehicle market by combining high quality North American assets in two of the best cobalt jurisdictions outside the DRC.” Additional information is available at both www.FirstCobalt.com and www.USCobaltInc.com.