Armco Metals To Acquire Draco Resources

(RTTNews) - Armco Metals Holdings, Inc. (AMCO) said Wednesday that it entered into a stock purchase agreement to acquire 100% of Draco Resources, Inc., a California-based company engaged in the exploration, mining, and trading of iron ore and minerals, through a stock exchange valued at about $46 million at the closing price of Armco Metals as of April 15.

The closing of the acquisition is subject to completion of due diligence, approval from shareholders, approval for continued listing by the New York Stock Exchange, and approval by any applicable governmental regulatory agency.

Upon successful completion of the acquisition, Draco shareholders will own about 72.8% of the total outstanding shares of the combined companies.