Uranium Energy Corp. (NYSEAM:UEC) entered into a definitive arrangement to acquire UEX Corporation (TSX:UEX) for approximately CAD 260 million on June 13, 2022. Under the terms of the Agreement, each holder of the common shares of UEX will receive 0.0831 of one UEC share in exchange for each UEX Share. As of August 5, 2022, under the terms of UEC's revised offer, each holder of UEX Shares will now receive 0.0890 of one common share of UEC for each UEX Share held, implying consideration of approximately CAD 0.49 per UEX Share based on the closing price of UEX Shares and UEC Shares on the Toronto Stock Exchange and the NYSE American Exchange, respectively. As of August 15, 2022, under the terms of UEC's revised offer, each holder of UEX Shares will now receive 0.090 of one common share of UEC for each UEX Share held, implying consideration of approximately CAD 0.497 per UEX Share based on the closing price of UEX Shares and UEC Shares on the Toronto Stock Exchange and the NYSE American Exchange respectively amounting to transaction value of approximately CAD 290 million. This share exchange ratio implies consideration of approximately CAD 0.43 per UEX Share and a premium of approximately 50% based on the closing price of UEX's shares on the Toronto Stock Exchange on June 10, 2022. At closing, existing UEC and UEX shareholders will own approximately 86.3% and 13.7%, respectively, of UEC based on current outstanding common shares. The Agreement also provides for a termination fee of $8.25 million (CAD 10.6 million) to be paid by UEX to UEC if the Agreement is terminated in certain specified circumstances. As of August 5, 2022, a termination fee of $8.8 million (CAD 11.3 million) shall be paid by UEX to UEC. As of August 15, 2022, a termination fee of $9 million (CAD 11.6 million) shall be paid by UEX to UEC. Completion of the Arrangement will require: (i) approval of at least 66 2/3% of the votes cast by UEX shareholders at the UEX Meeting, and (ii) approval of a simple majority of the votes cast by UEX shareholders at the UEX Meeting, excluding votes from certain management shareholders, as required under Multilateral Instrument 61-101. Completion of the Arrangement is also subject to the receipt of court and stock exchange approvals, holders of no more than 5% of the issued and outstanding UEX shares will have exercised their dissent rights (and not withdrawn such exercise) in respect of the Arrangement, ICA Clearance, and other customary closing conditions for transactions of this nature, such as Investment Canada approval. UEX Corporation's board has been unanimously approved the transaction. As of August 8, 2022, the Board has determined to postpone the special meeting of securityholders of UEX originally scheduled for August 9, 2022 to August 15, 2022. As of August 15, 2022, shareholders of UEX has approved the Arrangement Resolution. As of August 18, 2022, transaction was approved by Supreme Court of British Columbia. The transaction is expected to close in the third quarter of 2022.

BMO Capital Markets and Rothschild & Co are acting as financial advisor to UEC in connection with the transaction. Thomas J. Deutsch of McMillan LLP acted as legal advisor to UEC. TD Securities and Sprott Private Wealth LP are acting as financial advisors to UEX in connection with the transaction. Bernard Poznanski of Koffman Kalef LLP acted as legal advisor to UEX. TD Securities and Sprott Capital Partners have provided opinions to the UEX Board of Directors to the effect that, as of the date thereof, and based upon and subject to the assumptions, limitations and qualifications stated in such opinions, the consideration to be received by UEX shareholders pursuant to the Arrangement is fair, from a financial point of view to such shareholders.