DivestmentJun 22, 2026, 10:11 AM
First Majestic completes Del Toro Silver Mine divestment to Sierra Madre
AI Summary
First Majestic Silver Corp. announced the completion of the divestment of its wholly-owned subsidiary, First Majestic Del Toro, S.A. de C.V., which holds the Del Toro Silver Mine, to Sierra Madre Gold and Silver. The transaction involved an initial payment of US$20 million in cash and 10,870,000 common shares of Sierra Madre at a deemed price of $1.30 per share. Additionally, First Majestic is eligible for up to US$30 million in future payments tied to deferred payment and performance milestones. Sierra Madre also completed a concurrent private placement, raising $57,500,690 to fund the acquisition.
Key Highlights
- Divestment of Del Toro Silver Mine subsidiary to Sierra Madre Gold and Silver completed.
- Initial consideration: US$20,000,000 cash and 10,870,000 Sierra Madre common shares.
- Sierra Madre shares issued at a deemed price of $1.30 per common share.
- Deferred payment of US$10,000,000 due within 18 months (cash or shares).
- Milestone payment of US$10,000,000 for 100 Moz AgEq resource within 48 months.
- Milestone payment of US$10,000,000 for 4,000 tpd commercial production within 60 months.
- Sierra Madre completed a concurrent financing, raising $57,500,690 gross proceeds.
Price Impact
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