MAG Silver ( NYSE: MAG ) -4.6% post-market Wednesday after saying it entered into an agreement with underwriters led by BMO Capital and Raymond James, which agreed to buy 2.735M common shares on a bought deal basis at US$14.65 each.
The company granted the underwriters an option to purchase up to an additional 15% of the offering.
MAG Silver ( MAG ) said it plans to use the net proceeds to fund exploration on Juanicipio and other projects including Deer Trail, and for certain sustaining and development capital requirements at Juanicipio not included in the initial project capital estimates.
The miner also said it is undertaking a bought deal private placement of 843K common shares to be issued on a flow-through basis at C$23.75/share, with an underwriters option to purchase an additional 15% of the flow-through private placement.
MAG Silver ( MAG ) earlier reported FY 2022 production from the Juanicipio project totaled 9,250 koz of silver and 22,253 gold oz .
For further details see:
MAG Silver slides on C$40M bought deal financing