New Pacific Metals Corp. (TSX: NUAG) (NYSE American: NEWP) announced the closing of its previously announced bought deal financing, raising total gross proceeds of approximately C$40.42 million, which includes the full exercise of the underwriters' over-allotment option. The company issued 11,385,000 common shares at C$3.55 per share through a syndicate of underwriters under an agreement dated Oct. 15, 2025.
Notably, Silvercorp Metals Inc. participated with a C$10.95 million investment for 3,083,536 shares, maintaining a 27.99% stake in New Pacific. Pan American Silver Corp. purchased 1,263,416 shares for C$4.49 million, representing 11.47% ownership. Both transactions qualified as related party transactions under MI 61-101 but were exempt from valuation and minority approval requirements.
The successful closing of this financing underscores strong investor confidence in New Pacific Metals' strategy and its portfolio of precious metal projects in Bolivia. The company's flagship project is the Silver Sand Silver Project, complemented by the recently discovered Carangas Silver-Gold Project and the Silverstrike Silver-Gold Project. The funds raised are expected to be used for exploration and development activities, advancing these assets towards potential production.
Participation by major industry players like Silvercorp and Pan American Silver not only provides capital but also validates the technical merit and economic potential of New Pacific's projects. These strategic investments could lead to future collaborations or partnerships, enhancing the company's ability to de-risk and develop its properties.
For investors, this financing event is significant as it strengthens New Pacific's balance sheet during a period of heightened interest in silver and gold due to macroeconomic uncertainties. The company is well-positioned to capitalize on rising precious metal prices and increasing demand for safe-haven assets.
To view the full press release, visit https://ibn.fm/Cm9qJ. For the latest news and updates relating to NEWP, check the company's newsroom at http://ibn.fm/NEWP.
