VANCOUVER, BC, July 28,
2022 /PRNewswire/ - Alexco Resource Corp.
(NYSE American: AXU) (TSX: AXU) ("Alexco" or the
"Company") announced today that it obtained an interim order
(the "Interim Order") from the Supreme Court of British Columbia (the "Court") on
July 27, 2022, authorizing the
holding of its special meeting (the "Meeting") and matters
relating to the conduct of the Meeting. At the Meeting,
shareholders, optionholders, restricted share unit ("RSU")
holders, and deferred share unit ("DSU") holders of Alexco
(collectively, the "Securityholders") will be asked to
consider and, if deemed advisable, pass a special resolution (the
"Arrangement Resolution") to approve an arrangement (the
"Arrangement"), in accordance with the terms of the
arrangement agreement entered into by the Company and Hecla Mining
Company (NYSE: HL) ("Hecla") on July 4,
2022, as assigned and amended (the "Arrangement
Agreement"), pursuant to which 1080980
B.C. Ltd. ("108") agreed to acquire all of the issued
and outstanding Alexco Shares that it does not already own by way
of a statutory plan of arrangement (the "Plan of
Arrangement") under section 288 of the Business Corporations
Act (British Columbia).
Alexco also announces that it executed an assignment and
amendment agreement dated July 25,
2022 (the "Amending Agreement") with Hecla and 108 to amend the Arrangement
Agreement, pursuant to which Hecla
has assigned its obligations under the Arrangement Agreement, such
that 108 will become the purchaser under the Plan of Arrangement.
The Amending Agreement is available on SEDAR (www.sedar.com) under
Alexco's issuer profile.
An Alexco information circular will be mailed on or before
August 8, 2022 to Securityholders of
record as of July 20, 2022. The
Meeting will be held on August 30,
2022 at 10:00 a.m.
(Vancouver time) at the offices of
Blake, Cassels & Graydon LLP, 595 Burrard Street, Suite 2600,
Vancouver, British Columbia, V7X
1L3. Assuming no adjournment or postponement to the Meeting, the
cut-off time to vote by proxy will be 10:00
a.m. (Vancouver time) on
August 26, 2022.
The proposed closing date of the Arrangement is September 7, 2022, subject to obtaining Court,
Securityholder and regulatory approval and the satisfaction of
conditions set forth in the Arrangement Agreement.
About Alexco
Alexco is the owner and operator of the historic Keno Hill
Silver District in Canada's
Yukon Territory, one of the
highest-grade silver deposits in the world.
Website: www.alexcoresource.com
Forward-Looking Statements
Some statements ("forward-looking statements") in this news
release contain forward-looking information concerning Alexco's
anticipated results and developments in Alexco's operations in
future periods, planned exploration and development of its
properties, plans related to its business and other matters that
may occur in the future, made as of the date of this news release.
Forward-looking statements may include, but are not limited to,
statements with respect to the consummation and timing of the
transaction; approval by Securityholders; the satisfaction of the
conditions precedent to the transaction; and timing, receipt and
anticipated effects of court, regulatory and other consents and
approvals. Forward-looking statements are subject to a variety of
known and unknown risks, uncertainties and other factors, which
could cause actual events or results to differ from those expressed
or implied by the forward-looking statements. Such factors include,
among others, the risk that the Arrangement may not close when
planned or at all or on the terms and conditions set forth in the
Arrangement Agreement; the failure of the Company and Hecla to obtain the necessary regulatory,
Court, securityholder, and other third-party approvals, or to
otherwise satisfy the conditions to the completion of the
Arrangement, in a timely manner, or at all, may result in the
Arrangement not being completed on the proposed terms, or at all;
changes in laws, regulations and government practices; if a third
party makes a Superior Proposal (as defined in the Arrangement
Agreement), the Arrangement may not be completed and the Company
may be required to pay the Termination Fee; if the Arrangement is
not completed, and the Company continues as an independent entity,
there are risks that the announcement of the Arrangement and the
dedication of substantial resources of the Company to the
completion of the Arrangement could have an impact on the Company's
current business relationships and could have a material adverse
effect on the current and future operations, financial condition
and prospects of the Company; future prices of silver, gold, lead,
zinc and other commodities; market competition; and the
geopolitical, economic, permitting and legal climate that we
operate in. Forward-looking statements are based on certain
assumptions that management believes are reasonable at the time
they are made. In making the forward-looking statements included in
this news release, Alexco has applied several material assumptions,
including, but not limited to, assumptions as to the ability of
Alexco and Hecla to receive, in a
timely manner and on satisfactory terms, the necessary regulatory,
Court, securityholder and other third party approvals; the
satisfaction of the conditions to closing of the Arrangement in a
timely manner and completion of the Arrangement on the expected
terms; the expected adherence to the terms of the Arrangement
Agreement and agreements related to the Arrangement Agreement; the
adequacy of our and Hecla's
financial resources; favourable equity and debt capital markets;
and stability in financial capital markets. There can be no
assurance that forward-looking statements will prove to be accurate
and actual results and future events could differ materially from
those anticipated in such statements. Alexco expressly disclaims
any intention or obligation to update or revise any forward-looking
statements whether as a result of new information, future events or
otherwise, except as otherwise required by applicable securities
legislation.
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SOURCE Alexco Resource Corp.
