Uranium Royalties Corp. (TSX:UROY) has agreed to acquire privately held Sweetwater Royalties in a US$1.1 billion transaction, absorbing a vast portfolio of Wyoming soda ash assets to fund its expansion into the nuclear fuel sector.
Under terms announced Thursday (April 16), Vancouver-based Uranium Royalty will pay Sweetwater’s majority owners US$330 million in cash and US$813 million in newly issued stock, valued at US$3.64 per share.
The transaction values Sweetwater at US$1.9 billion, including US$625 million in outstanding debt. Following closing, majority owners Orion and Ontario Teachers’ will hold 43 per cent and 16 per cent stakes, respectively.
The acquisition marks a strategic pivot for Uranium Royalty, which is currently the only pure-play nuclear fuel royalty firm listed on a major exchange.
By acquiring Sweetwater, the Company secures exposure to the Green River Basin, which hosts the world’s largest known reserves of natural trona. Trona is refined into soda ash, a widely consumed industrial material needed to manufacture glass, chemicals and energy transition infrastructure.
Sweetwater collects production revenue royalties from five operating soda ash mines and two advanced greenfield projects operated by major global operators. These properties generated an average adjusted EBITDA of approximately US$74 million in each of the last two fiscal years.
Scott Melby, CEO of Uranium Royalty, said, “We welcome this transformational combination that will accelerate near-term cash flows from competitive and reliable, long-term assets located in a top-tier jurisdiction.” The press release said.
The transaction also turns uranium royalties into a major US real estate holder. The company would become the largest private landowner in Wyoming, owning 850,000 acres of fee surface rights and 4.5 million acres of mineral rights.
Beyond soda ash, this broader footprint provides immediate optionality for domestic uranium exploration in the top US state for nuclear fuel production.
Ontario Teachers’, which managed $204 billion in net assets at the end of 2025, originally acquired a 25 per cent stake in Sweetwater in 2023 for about $222 million.
Uranium Royalty expects to finance the US$330 million cash portion of the deal using existing liquidity, although it has said it will seek external financing before the transaction closes.
The company had more than 2.3 million pounds of physical uranium concentrate by the end of 2025.
The acquisition is subject to a two-thirds approval threshold from Uranium Royalty shareholders at a meeting in July, pending customary court and regulatory approvals.
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Securities Disclosure: I, Gian Liguid, do not have any direct investment interest in any of the companies mentioned in this article.
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