Business
First Majestic Silver Announces the Proposed Sale of Its Royalty Portfolio for US$20.0 Million
Vancouver, British Columbia--(Newsfile Corp. - November 28, 2022) - First Majestic Silver Corp. (NYSE: AG) (TSX: FR) (FSE: FMV) (the "Company" or "First Majesti
About this update from First Majestic Silver Corp.
[{"type":"text","content":" Vancouver, British Columbia--(Newsfile Corp. - November 28, 2022) - First Majestic Silver Corp. (NYSE: AG) (TSX: FR) (FSE: FMV) (the \"Company\" or \"First Majestic\") is pleased to announce that it has entered into a royalty purchase agreement dated November 25, 2022 to sell a portfolio of its royalty interests (\"Royalty Portfolio\") to Metalla Royalty & Streaming Ltd. (NYSE American: MTA) (TSXV: MTA) (\"Metalla\") for a total consideration of US$20.0 million (the \"Transaction\") in common shares of Metalla. Total consideration consists of 4,168,056 Metalla shares at a deemed price of US$4.7984 per share based on a 25-day volume-weighted average price on the NYSE American Exchange having an aggregate value of approximately US$20.0 million. The consideration will be paid upon Closing of the Transaction. Royalty Portfolio Asset Owner Location Stage Royalty La Encantada First Majestic Coahuila, Mexico Operating 100% Gold Royalty* La Parrilla First Majestic Durango, Mexico Care & Maintenance 2% NSR Del Toro First Majestic Zacatecas, Mexico Care & Maintenance 2% NSR San Martin First Majestic Jalisco, Mexico Care & Maintenance 2% NSR La Guitarra First Majestic - undergoing a binding purchase agreement to Sierra Madre Gold & Silver Mexico, Mexico Care & Maintenance 2% NSR Plomasas GR Silver Mining Sinaloa, Mexico Exploration 2% NSR La Luz First Majestic San Luís Potosí, Mexico Exploration 2% NSR La Joya First Majestic - Optioned to Silver Dollar Resources Durango, Mexico Exploration 2% NSR *up to the first 1,000 payable ounces annually Once closed, First Majestic will hold approximately 8.5% of the outstanding shares in Metalla, which will be subject to a statutory holding period of four months and one day following the date of closing and certain contractual resale restrictions. The accretive transaction realizes significant value for First Majestic shareholders. Closing of the Transaction remains subject to the approval of the TSX Venture Exchange and other customary closing conditions and is expected to occur in the first quarter of 2023. ABOUT FIRST MAJESTIC First Majestic is a publicly traded mining company focused on silver and gold production in Mexico and the United States. The Company presently owns and operates the San Dimas Silver/Gold Mine, the Jerritt Canyon Gold Mine, the Santa Elena Silver/Gol...