Dataram to acquire U.S. Gold

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Dataram Corp., a Princeton-based manufacturer of memory products and provider of performance solutions, announced it has agreed to acquire U.S. Gold Corp., a gold exploration and development company.Dataram, according to the agreement, will acquire all shares of U.S. Gold and its subsidiaries.

Dataram will also acquire the Copper King project, which U.S. Gold currently controls. The project is a gold exploration venture in Wyoming and it owns certain mining leases and mineral rights in the Silver Crown Mining District. Dataram will also acquire certain mining claims related to a gold exploration project in Eureka County, Nevada, otherwise known as the Keystone project.

“While there are always risks and critical activities can sometimes take longer than planned, Dataram remains fully committed to acquiring U.S. Gold as we remain confident that this is a tremendous opportunity for our shareholders,” Dave Moylan, Dataram’s chairman and CEO, said in a prepared statement. “With any merger or acquisition activity, there are multiple dependencies that each company must address. U.S. Gold recently completed an extremely successful capital raise intended to directly support exploration activities for both the Copper King and Keystone projects. The raise helps ensure these exploration efforts are fully funded for several years. The strong participation in the raise reaffirms our belief that our entry into the natural resources sector, which is intended to diversify risk, will unlock value for our shareholders. It also reaffirms the acquisition as an economically viable and exciting project given the overall landscape and market opportunity within natural resources

“Additionally, the memory market has been undergoing a sharp increase in DRAM prices since mid-summer, with the average selling price of our memory products rising significantly since the July/August timeframe. In conjunction with the acquisition, we remain focused on making strategic purchases of DRAM components and modules to provide competitive pricing of high quality memory products in the market.”

The acquisition is expected to close by the end of the first quarter of 2017. Financial terms were not disclosed.

“We remain enthusiastic about the opportunities created through this acquisition and believe the combined companies will generate significant value for our shareholders,” Edward Karr, CEO and director of U.S. Gold, said in a prepared statement. “With a strong capital raise completed, we are quickly moving forward on advancing both of our development and exploration projects.”

ROTH Capital Partners LLC acted as financial advisor to Dataram. Windels Marx Lane and Mittendorf LLP and Sichenzia Ross Ference Kesner LLP served as legal advisors to Dataram. Laxague Law Inc. served as legal advisor to U.S. Gold.