Hecla acquisition of Revett approved

The stockholders of Revett Mining Inc. voted overwhelmingly to approve the acquisition of Revett by Hecla Mining of Couer d’Alene, Idaho last week.

Shareholders representing slightly more than 64 percent of outstanding shares voted in the decision, with more than 95 percent of those votes falling in favor of the merger. The special shareholders meeting was held in Spokane Valley, Wash., home of Revett, on June 12.

“We’re excited to have this transaction completed and to being a part of the northwest Montana business environment,” Luke Russell, vice president of external affairs for Hecla said. “We’re looking forward to moving ahead at Rock Creek.”

Under the terms of the merger, Revett shareholders will receive .1622 shares of Hecla common stock for each share of Revett. Cash will be paid in lieu of fractional shares.

Revett stock closed at $.46 per share on Friday, but was up to $.50 as of early Monday morning.

Hecla stock, which closed at $2.95 Friday, was up to $3.03 as of 11 a.m. Monday.

With the acquisition of Revett, Hecla will own both the Troy and Rock Creek mines. The company previously announced its intention to close and reclaim the Troy Mine, which was placed in care and maintenance status by Revett earlier this year.

Hecla’s primary focus, according to Russell, will be the permitting and development of the Rock Creek Mine, which could mean as many as 300 jobs for the economically depressed areas of Lincoln and Sanders counties.

Revett’s President and Chief Executive Officer John Shanahan said the merger was the best option for Revett and the communities of northwest Montana, but he will miss his involvement and the people here.

“We are very proud of what Revett has achieved,” he said. “But we also realize that in current market conditions, our merger with Hecla is the best course of action for the communities of northwest Montana and for our shareholders. The Rock Creek project is a world-class deposit and it can and will be developed responsibly by Hecla. I am grateful for all the support I have received and friendships that I have made over these past eight years. I now know why this part of the world is so special and that is something that will stay close to me forever.”