Silver Crown Royalties Inc. (Cboe:SCRI, OTCQX:SLCRF, BF:QS0) has entered into a definitive agreement to acquire a third privately held 1% net smelter return royalty on the Madre Sierra deposit owned by Titiminas Silver Inc. in Jauja, Peru. The transaction, announced on September 3, 2026, underscores the company’s strategic move to consolidate royalties on a project it believes will contribute significant silver ounces in the future.
Under the agreement, Silver Crown will pay US$2,000,000 in cash at closing, along with US$1,000,000 through the issuance of 38,401 units of Silver Crown, each consisting of one common share and one-half of a common share purchase warrant. The price per unit will be based on the volume weighted average trading price of Silver Crown’s shares on Cboe Canada for the five trading days preceding the agreement date. Each whole warrant will be exercisable at 150% of that price for 24 months following closing.
Additionally, the company will provide US$1,000,000 in contingent consideration, payable in units on the same basis, once Silver Crown receives its first royalty payment after the project achieves at least 30 days of continuous production at a rate of at least 70 tonnes per day. This contingent payment will be triggered when that production milestone is met, and the issue price will be determined by the five-day volume weighted average price preceding the trigger date.
The closing is expected on or before October 31, 2026, and is subject to customary conditions, including approval from Cboe Canada and registration of the royalty on the project’s title. All securities issued in connection with the transaction will be on a prospectus-exempt basis and subject to statutory hold periods.
Peter Bures, CEO of Silver Crown, highlighted the company’s intention to eventually restructure the acquired royalties into a silver-only royalty, aligning with its mandate. “Our initial intent was to acquire the complete royalty package and eventually restructure the existing royalty into a silver-only royalty as per our mandate,” Bures said. “Once this acquisition is completed, we intend to move forward with our silver-only strategy on Titiminas’ Madre Sierra project.”
Silver Crown Royalties is a publicly traded silver royalty company with a portfolio that currently includes six silver royalties, three of which are revenue-generating. The company’s business model is designed to offer investors exposure to precious metals while acting as a hedge against currency devaluation and minimizing the impact of cost inflation associated with production. By expanding its interests in the Madre Sierra project, Silver Crown aims to increase its silver ounce contributions and deliver value to shareholders.
The announcement is part of Silver Crown’s broader growth strategy, which includes acquiring royalties on projects with strong development potential. The Madre Sierra project, located in Peru, is positioned to become a meaningful source of silver production, and this acquisition is expected to bolster the company’s long-term revenue stream. Investors will be watching for the completion of the transaction and the project’s progress toward production, as it could significantly impact Silver Crown’s financial performance and market position.
For more information about the transaction and Silver Crown Royalties, visit the company’s official channels or refer to the original press release.
