Guanajuato underwriters exercise $522,000 overallotment

Executive Summary

• Guanajuato Silver Company Ltd. has closed the over-allotment option for its previously announced bought deal public offering, resulting in the issuance of additional units and warrants.
• The exercise of the overallotment option generated $522,000 in additional gross proceeds for the company.
• The underwriters received a cash commission of $31,320 for their services in connection with the overallotment.

Key Details

• Transaction Structure: Exercise of the overallotment option for the bought deal public offering.
• Additional Units Issued: 6,525,000 common share purchase warrants (associated with the over-allotment units).
• Additional Gross Proceeds: $522,000.
• Underwriters: Canaccord Genuity Corp. and Red Cloud Securities Inc. (co-lead underwriters and joint bookrunners).
• Warrant Terms: Each warrant entitles the holder to acquire one common share at an exercise price of 65 cents.
• Warrant Expiration: October 9, 2028, at 5 p.m. (Vancouver time).
• Underwriter Commission: $31,320 total cash commission received by the underwriters.
• Context: This follows the initial successful completion of the bought deal public offering of 87 million units at 50 cents per unit, which generated $43.5 million in gross proceeds.