VANCOUVER, BRITISH COLUMBIA -- (Marketwire) -- 03/18/13 -- Aurizon Mines Ltd. (TSX: ARZ)(NYSE MKT: AZK)(NYSE Amex: AZK) ("Aurizon" or the "Company") today reiterated its recommendation that Aurizon shareholders REJECT the financially inadequate offer by Alamos Gold Inc. ("Alamos") and not tender their shares to it.
Aurizon also noted two facts which suggest that the support for the Alamos offer has significantly declined:
1. Counsel for Alamos disclosed in a hearing before the British Columbia Securities Commission ("BCSC") on March 15, 2013 that only 6.5% of Aurizon's shares were tendered to its offer as of that date. This represents tendered support declining by half since the announcement of the Hecla offer, given that on March 12, Alamos had suggested that 13% of shares had been tendered as of noon on March 5.2. In the hearing before the BCSC on March 15, nobody having direct control or direction over Aurizon shares provided an affidavit of support to Alamos. The only supporting affidavit that Alamos was able to present was from a former Aurizon shareholder that had sold its Aurizon shares to Alamos in January.
Said George Brack, Chair of the Special Committee of Aurizon's Board: "The Board remains of the view that the Alamos offer is financially inadequate. The offer made by Hecla provides both more value per Aurizon share, as well as a significantly larger cash component."
Added Mr. Brack: "The Alamos offer is worth less than the Hecla offer, and support for the Alamos offer appears to have diminished substantially. We reiterate our recommendation that shareholders REJECT the Alamos offer by not tendering their shares, and immediately withdrawing shares that have been tendered, in advance of the 5:00 pm (Pacific) deadline on March 19."
Aurizon's Board of Directors continues to recommend that shareholders support the Board-supported arrangement with Hecla:
-- Hecla offers premium value - based on the closing share prices of Hecla and Alamos on March 15, 2013, the Hecla Arrangement provides $0.32 more value than the Alamos bid.-- Hecla offers more cash - the Hecla arrangement offers Aurizon shareholders greater value certainty through a maximum $513.6 million in cash, which is 68% higher than the maximum amount of cash offered by Alamos ($305 million maximum cash). Roughly two thirds of the Hecla Arrangement is in cash with Alamos' offer being less than half.-- Hecla offers a more compelling strategic and jurisdictional fit - a combination of Hecla and Aurizon offers shareholders the opportunity to participate in a North America-focused, US$1.64 billion precious metals company with excellent operating assets in superb jurisdictions, complementary mining experience, and exploration potential.
How to Withdraw Shares Tendered to the Alamos Offer
The Board of Directors of Aurizon unanimously recommended that shareholders REJECT the previously announced offer by Alamos Gold Inc. Shareholders who have questions or who may have already tendered their shares to the Alamos Offer and wish to withdraw them, may do so by contacting our Information Agent, Georgeson Toll Free (North America): 1-888-605-7616, Outside North America Call Collect: 1-781-575-2422 or Email: email@example.com.