Guanajuato Silver Company Ltd. (TSXV:GSVR) signed an agreement to acquire Minera Mexicana El Rosario, S.A. de C.V. from Great Panther Mining Limited (TSX:GPR) for $16.9 million on June 29, 2022. Minera Mexicana El Rosario holds the Guanajuato Mine Complex, the Topia mine, El Horcón and Santa Rosa projects. Under the terms, Guanajuato Silver will a total upfront consideration of $14.7 million and up to $2 million in additional payments. $8 million will be paid on closing, $6.7 million will be paid in 25,787,200 common shares of Guanajuato Silver, $0.5 million upon producing 2.5 million ounces of silver from the Guanajuato Mine Complex and Topia, $0.75 million upon the price of silver closing at or above $27.5 per ounce over a 30-day period in the two years following the agreement and $0.75 million upon the price of silver closing at or above $30 per ounce over a 30-day period in the two years following the agreement. Guanajuato Silver signed a concentrate pre-payment facility term sheet with Ocean Partners (UK) to provide $5 million of financing to be used for acquisition. Guanajuato Silver entered into an agreement with Research Capital Corporation and Canaccord Genuity Corp. as co-lead agents and joint bookrunners, and on behalf of a syndicate of agents, including Echelon Wealth Partners Inc. and Roth Capital Partners LLC, pursuant to which the agents will undertake a “part-and-parcel” brokered private placement offering of 35,000,000 subscription receipts of Guanajuato Silver at a price of approximately US$0.257 per subscription receipt, to raise gross proceeds of up to $9.0 million. The deal is subject to satisfaction of certain conditions including receipt of all requisite third-party regulatory and statutory approvals. The deal is expected to close in third quarter of 2022. GenCap Mining Advisory Ltd. acted as financial advisor and McCarthy Tétrault LLP and RB Mexico Law-Abogados acted as legal advisors to Great Panther Mining. Minvisory Corp. acted as financial advisor and Gregory T. Chu, A Law Corporation acted as legal advisor to Guanajuato Silver.

Guanajuato Silver Company Ltd. (TSXV:GSVR) completed the acquisition of Minera Mexicana El Rosario, S.A. de C.V. from Great Panther Mining Limited (TSX:GPR) for $16.9 million on August 4, 2022.