Under the terms of the agreement, Mega Uranium will issue 1,750,000 newly issued common shares to Energy Fuels to acquire 2,759,807 shares of Bayswater.
Subject to various approvals, the transaction is due to be completed on or before 17 January 2014.
Energy Fuels president and CEO Stephen P Antony said Energy Fuels is already a shareholder of Mega through a previous non-core asset sale.
"Mega’s market capitalization is currently significantly lower than the Toro Energy Limited common shares it received as consideration for its sale of the Maitland Lake uranium project, which closed on November 19, 2013," Antony added.
In August 2013, Energy Fuels acquired Bayswater’s 2,759,807 shares, which represent approximately 11.5% of the issued and outstanding shares, from Strathmore Minerals.
"Mega also owns other investments, including about 17% of the currently outstanding shares of NexGen Energy Ltd. Energy Fuels is pleased to increase its investment in Mega at this time."
