SILVERCORP ANNOUNCES PRICING OF US$130 MILLION CONVERTIBLE SENIOR NOTES OFFERING
Silvercorp Metals (TSX/NYSE: SVM) has priced a private placement offering of US$130 million in 4.75% convertible senior notes due 2029, with an option for purchasers to buy an additional US$20 million. The notes will have an initial conversion rate of 216.0761 common shares per $1,000 principal amount, representing a conversion price of US$4.63 per share - a 30% premium over the last reported share price of US$3.56.
The company expects net proceeds of approximately US$124.2 million (or US$143.5 million if the additional option is exercised), which will be used for copper-gold mining projects outside China, exploration and development, and working capital.
Silvercorp Metals (TSX/NYSE: SVM) ha fissato il prezzo per un'offerta di collocamento privato di 130 milioni di dollari USA in obbligazioni senior convertibili al 4,75% con scadenza nel 2029, con un'opzione per i compratori di acquistare ulteriori 20 milioni di dollari USA. Le obbligazioni avranno un tasso di conversione iniziale di 216,0761 azioni ordinarie per ogni 1.000 dollari di valore nominale, rappresentando un prezzo di conversione di 4,63 dollari USA per azione - un premio del 30% rispetto all'ultimo prezzo delle azioni riportato di 3,56 dollari USA.
L'azienda prevede un ricavato netto di circa 124,2 milioni di dollari USA (o 143,5 milioni di dollari USA se l'opzione aggiuntiva viene esercitata), che sarà utilizzato per progetti minerari di rame e oro al di fuori della Cina, esplorazione e sviluppo, e capitale circolante.
Silvercorp Metals (TSX/NYSE: SVM) ha establecido el precio de una oferta de colocación privada de 130 millones de dólares EE.UU. en notas senior convertibles al 4,75% con vencimiento en 2029, con una opción para los compradores de adquirir un adicional de 20 millones de dólares EE.UU.. Las notas tendrán una tasa de conversión inicial de 216,0761 acciones comunes por cada 1.000 dólares de monto principal, lo que representa un precio de conversión de 4,63 dólares EE.UU. por acción - un premium del 30% sobre el último precio de acción reportado de 3,56 dólares EE.UU.
La empresa espera ingresos netos de aproximadamente 124,2 millones de dólares EE.UU. (o 143,5 millones de dólares EE.UU. si se ejerce la opción adicional), que se utilizarán para proyectos mineros de cobre y oro fuera de China, exploración y desarrollo, y capital de trabajo.
Silvercorp Metals (TSX/NYSE: SVM)는 2029년 만기 4.75% 전환 가능한 선순위 채권 1억 3천만 달러의 사모 배치를 가격을 책정했으며, 구매자가 추가로 2천만 달러를 매입할 수 있는 옵션이 있습니다. 이 채권은 1,000달러의 원금에 대해 216.0761주 의무주식으로 전환할 수 있는 초기 전환 비율을 가지며, 이는 주당 전환 가격이 4.63달러로, 마지막 보고된 주가 3.56달러에 비해 30%의 프리미엄을 나타냅니다.
회사는 중국 외부의 구리-금 광산 프로젝트, 탐사 및 개발, 운영 자본에 사용할 약1억 2천 4백만 달러의 순수익을 기대하고 있습니다 (추가 옵션이 행사될 경우 1억 4천 3백 5십만 달러가 됩니다).
Silvercorp Metals (TSX/NYSE: SVM) a fixé le prix d'une offre de placement privé de 130 millions de dollars US en obligations senior convertibles à 4,75%, arrivant à échéance en 2029, avec une option pour les acheteurs d'acheter un montant supplémentaire de 20 millions de dollars US. Les obligations auront un taux de conversion initial de 216,0761 actions ordinaires pour chaque 1 000 dollars de montant principal, représentant un prix de conversion de 4,63 dollars US par action - une prime de 30% par rapport au dernier prix de l'action rapporté de 3,56 dollars US.
L'entreprise prévoit un produit net d'environ 124,2 millions de dollars US (ou 143,5 millions de dollars US si l'option supplémentaire est exercée), qui sera utilisé pour des projets miniers de cuivre-or en dehors de la Chine, des explorations et du développement, ainsi que du fonds de roulement.
Silvercorp Metals (TSX/NYSE: SVM) hat die Preisgestaltung für ein privates Platzierungsangebot von 130 Millionen US-Dollar für 4,75% wandelbare vorrangige Anleihen mit Fälligkeit im Jahr 2029 festgelegt, mit einer Option für Käufer, zusätzlich 20 Millionen US-Dollar zu erwerben. Die Anleihen werden eine anfängliche Umwandlungsrate von 216,0761 Stammaktien pro 1.000 US-Dollar Nennbetrag haben, was einem Umwandlungspreis von 4,63 US-Dollar pro Aktie entspricht - ein Aufpreis von 30% gegenüber dem zuletzt berichteten Aktienkurs von 3,56 US-Dollar.
Das Unternehmen erwartet Nettoerlöse von etwa 124,2 Millionen US-Dollar (oder 143,5 Millionen US-Dollar, wenn die zusätzliche Option ausgeübt wird), die für Kupfer-Gold-Bergbauprojekte außerhalb Chinas, Erkundung und Entwicklung sowie Betriebskapital verwendet werden sollen.
- Raising significant capital of US$130 million with potential for additional US$20 million
- 30% premium on conversion price compared to current share price
- Flexible conversion terms with cash or shares settlement options
- Funds allocated for expansion and development of copper-gold projects
- 4.75% interest payment obligation on notes
- Potential future dilution for existing shareholders upon conversion
- Additional debt burden on company's balance sheet
Insights
This
The convertible structure provides flexibility - holders can convert to equity if share prices rise significantly, while Silvercorp maintains the option to settle in cash, shares, or both. The redemption option after December 2027 at
The strategic allocation of funds towards copper-gold projects outside China marks a significant geographical diversification effort. This expansion beyond Silvercorp's traditional Chinese silver mining operations could help mitigate country-specific risks and tap into new mineral-rich regions. The substantial capital raise suggests these projects are well-advanced in planning stages and likely material to future growth.
The working capital component provides operational flexibility while maintaining exploration and development momentum. This financing structure is particularly advantageous in the current mining cycle, where project development costs are rising but good assets remain available. The move positions Silvercorp to capitalize on opportunities in the copper-gold sector while maintaining its silver production base.
Trading Symbol: TSX: SVM
NYSE AMERICAN: SVM
The Notes will be senior unsecured obligations of the Company. The Notes will accrue interest payable semi-annually in arrears at a rate of
The Notes will be convertible at the option of holders, prior to the close of business on the business day immediately preceding September 15, 2029, only under certain circumstances and during certain periods, and thereafter, at any time until the close of business on the second scheduled trading day immediately preceding the maturity date. Upon conversion, the Notes may be settled, at the Company's election, in cash, Common Shares or a combination thereof. The Notes will not be redeemable at the Company's option prior to December 20, 2027, except upon the occurrence of certain tax law changes. On or after December 20, 2027 and on or prior to the 51st scheduled trading day immediately preceding the maturity date, the Notes will be redeemable at the Company's option if the last reported sale price of the Company's Common Shares has been at least
The Offering is expected to close on or about November 25, 2024, subject to customary closing conditions.
The Company estimates that the net proceeds from the sale of the Notes, after deducting initial purchaser discounts but before deducting the other estimated expenses of the offering, will be approximately
The Notes are being offered on a private placement basis and are not being offered by way of a prospectus in
This news release does not constitute an offer to sell or a solicitation of an offer to buy the Notes or any other securities and shall not constitute an offer, solicitation or sale in
About Silvercorp
Silvercorp Metals Inc. is a Canadian mining company producing silver, gold, lead and zinc from the Ying Mining District and the GC Mine in China. Silvercorp's additional assets include the development-stage Curipamba copper-gold project, containing the El Domo deposit, and the exploration-stage Condor project in
For further information
Silvercorp Metals Inc.
Lon Shaver
President
Phone: (604) 669-9397
Toll Free: 1 (888) 224-1881
Email: investor@silvercorp.ca
Cautionary statement on forward-looking information
Certain statements in this release constitute "forward-looking statements" or "forward-looking information" within the meaning of applicable securities laws. Such statements and information involve known and unknown risks, uncertainties and other factors that may cause the actual results, performance or achievements of the Company, its projects, or industry results, to be materially different from any future results, performance or achievements expressed or implied by such forward-looking statements or information. Such statements can be identified by the use of words such as "may", "would", "could", "will", "intend", "expect", "believe", "plan", "anticipate", "estimate", "scheduled", "forecast", "predict" and other similar terminology, or state that certain actions, events or results "may", "could", "would", "might" or "will" be taken, occur or be achieved. These statements reflect the Company's current expectations regarding future events, performance and results and speak only as of the date of this release. Such statements include without limitation, the completion of the Offering and the expected use of proceeds therefrom.
Forward-looking statements and information involve significant risks and uncertainties, should not be read as guarantees of future performance or results and will not necessarily be accurate indicators of whether or not such results will be achieved. A number of factors could cause actual results to differ materially from the results discussed in the forward- looking statements or information, including, but not limited to, risks related to the Company's ability to consummate the Offering; the fact that the Company's management will have broad discretion in the use of the proceeds from the Offering; fluctuating commodity prices; recent market events and condition; estimation of mineral resources, mineral reserves and mineralization and metal recovery; interpretations and assumptions of mineral resource and mineral reserve estimates; exploration and development programs; climate change; economic factors affecting the Company; timing, estimated amount, capital and operating expenditures and economic returns of future production; integration of future acquisitions into existing operations; permits and licences for mining and exploration in
Although the forward-looking statements contained in this release are based upon what management of the Company believes are reasonable assumptions, there can be no assurance that actual results will be consistent with these forward- looking statements. These forward-looking statements are made as of the date of this release and are expressly qualified in their entirety by this cautionary statement. Subject to applicable securities laws, the Company does not assume any obligation to update or revise the forward-looking statements contained herein to reflect events or circumstances occurring after the date of this release.
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SOURCE Silvercorp Metals Inc
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