Guanajuato Silver increases bought deal to $43.5M

Mr. James Anderson reports GUANAJUATO SILVER ANNOUNCES UPSIZE OF BOUGHT DEAL PUBLIC OFFERING TO $43.5 MILLION Guanajuato Silver Company Ltd. has entered into an agreement with Canaccord Genuity Corp. and Red Cloud Securities Inc., as co-lead underwriters and joint bookrunners, pursuant to which the underwriters have agreed to purchase, on a bought deal basis, 60 million units of the company, at a price of 50 cents per unit for gross proceeds of $30-million. Each unit will consist of one common share of the company and one-half of one common share purchase warrant. Each warrant will entitle the holder thereof to acquire one common share of the company at a price of 65 cents for a period of 36 months following the closing date (as defined herein). The company will grant the underwriters an option to purchase up to an additional nine million units to cover overallotments, if any, and for market stabilization purposes at a price of 50 cents per underwriter option unit for additional gross proceeds of up to $4.5-million, exercisable in whole or in part, at any time on or prior to the date that is 30 days following the closing date (as defined herein). The net proceeds of the offering will be used for sustaining and development capital for the company's four operating mines in Mexico, working capital and general corporate purposes. The units will be offered by way of a prospectus supplement to the company's short form base shelf prospectus dated Aug. 21, 2024, to purchasers in each of the provinces and territories of Canada (other than Quebec) and may also be offered by way of private placement in the United States and such other jurisdictions as agreed between the parties. The offering is expected to close on or about Oct. 9, 2025, and is subject to the company receiving all necessary regulatory approvals, including the approval of the TSX Venture Exchange. Access to the prospectus supplement, the base shelf prospectus and any amendment to such documents is provided in accordance with securities legislation relating to the procedures for providing access to a shelf prospectus supplement, a base shelf prospectus and any amendment. The base shelf prospectus is, and the prospectus supplement will be (within two business days from the date hereof), accessible on SEDAR+. An electronic or paper copy of the prospectus supplement, base shelf prospectus and any amendment to such documents may be obtained, without charge, from Canaccord Genuity Corp., 40 Temperance St., suite 2100, Toronto, Ont., by telephone at 416 869-7368, or by e-mail at [email protected], by providing the contact with an e-mail address or address, as applicable. About Guanajuato Silver Company Ltd. GSilver is a precious metals producer engaged in reactivating past producing silver and gold mines in central Mexico. The company produces silver and gold concentrates from the El Cubo mine, Valenciana mines complex and the San Ignacio mine; all three mines are located within the state of Guanajuato, which has an established 480-year mining history. Additionally, the company produces silver, gold, lead and zinc concentrates from the Topia mine in northwestern Durango. With four operating mines and three processing facilities, Guanajuato Silver is one of the fastest-growing silver producers in Mexico. We seek Safe Harbor.