New Pacific Metals Corp. has successfully closed a C$40.42 million bought deal financing, strengthening its financial position for advancing precious metal projects in Bolivia. The company issued 11,385,000 common shares at C$3.55 per share through a syndicate of underwriters under an agreement dated October 15, 2025. The financing included full exercise of the underwriters' over-allotment option, demonstrating strong market interest in the company's development plans.
The transaction attracted significant participation from major industry players, highlighting confidence in New Pacific's portfolio. Silvercorp Metals Inc. invested C$10.95 million for 3,083,536 shares, maintaining its 27.99 percent stake in the company. Pan American Silver Corp. purchased 1,263,416 shares for C$4.49 million, representing 11.47 percent ownership. Both investments qualified as related party transactions under MI 61-101 but were exempt from valuation and minority approval requirements.
This substantial capital infusion is crucial for advancing New Pacific's three key Bolivian projects: the flagship Silver Sand Silver Project, the recently discovered Carangas Silver-Gold Project, and the Silverstrike Silver-Gold Project. The financing demonstrates continued investor confidence in the company's exploration and development strategy despite challenging market conditions for junior mining companies. The participation of established mining companies like Silvercorp and Pan American Silver provides validation of New Pacific's asset quality and management team.
The successful financing comes at a time when global demand for silver and gold remains strong, driven by industrial applications and investment demand. New Pacific's projects in Bolivia represent significant potential in a country with established mining infrastructure and mineral wealth. The company's news and updates are available in its newsroom at http://ibn.fm/NEWP, while the full press release detailing this financing can be accessed at https://ibn.fm/Cm9qJ.
For investors and industry observers, this financing represents an important development in the junior mining sector, where access to capital has become increasingly challenging. The ability to secure C$40 million in a single financing round, particularly with strategic investments from established producers, signals strong market confidence in New Pacific's prospects. This transaction may set a positive precedent for other junior mining companies seeking funding for development projects in established mining jurisdictions.
The continued involvement of Silvercorp Metals, which maintains its significant ownership position, provides strategic stability and operational expertise to New Pacific's development efforts. Similarly, Pan American Silver's increased investment demonstrates the attractiveness of New Pacific's project portfolio to major industry players. These relationships could prove valuable as the company advances its projects through exploration and development phases, potentially leading to future partnerships or operational collaborations.
