First Majestic completes $350 million convertible notes offering

First Majestic Silver Corp. (NYSE: AG) (TSX: AG) completed its offering of $350 million in convertible senior notes, the company announced. The offering included $300 million in principal amount of 0.125% unsecured convertible senior notes due 2031, plus an additional $50 million from the full exercise of the over-allotment option.

The notes carry an initial conversion rate of 44.7227 common shares per $1,000 principal amount, equivalent to a conversion price of approximately $22.36 per share.

First Majestic plans to use approximately $214.7 million of the proceeds to repurchase around $174.7 million in aggregate principal amount of its existing 0.375% convertible senior notes due 2027 through private transactions. The company intends to allocate remaining proceeds for general corporate purposes and strategic opportunities.

The mining company operates four underground mines in Mexico: Los Gatos Silver Mine (70% interest), Santa Elena Silver/Gold Mine, San Dimas Silver/Gold Mine, and La Encantada Silver Mine. First Majestic also holds development and exploration assets, including the Jerritt Canyon Gold project in Nevada.

The notes and underlying shares were not registered under the U.S. Securities Act of 1933 and may only be offered or sold under applicable exemptions from registration requirements in both the United States and Canada.

You May Also Be Interested In

• First Majestic raises 2026 output guidance after Q2 silver, gold gains
• Thunder Mountain Gold plans $6.4M private placement for South Mountain
• Greenland Mines ends at-the-market sales deal with A.G.P.