Business model
Maverix Metals Inc. (MMX) is a precious metal royalty company that provides upfront capital to mine operators in need of capital, in return for a royalty (a percentage of the future revenue generated from the mine) or a stream (the right to either purchase all or a fixed percentage of future precious metal production for a pre-determined price).
As a royalty firm, its business model can be described using the following equation:
[EBIT] = {[Precious metal prices] - [All-in costs]} X [Production].
The royalty and streaming agreements provide Maverix with exposure