Guanajuato Silver arranges LIFE unit financing

Executive Summary

• Guanajuato Silver Company Ltd. announced a non‑brokered LIFE private placement of units at C$0.30 per unit, targeting minimum gross proceeds of $15 million and up to $18 million.
• Each unit consists of one common share plus half of a common‑share purchase warrant (exercise price C$0.45, exercisable for 36 months).
• Net proceeds will fund underground equipment upgrades at Guanajuato and Durango mines, processing‑facility expansions at Topia, corporate G&A expenses for the next year, and exploration at San Ignacio and El Cubo.

Key Details

• Offering Structure: Units = 1 common share + 0.5 warrant; warrant allows purchase of an additional share at C$0.45 for 36 months post‑closing.
• Pricing & Size: C$0.30 per unit; minimum aggregate gross proceeds $15 million, maximum up to $18 million.
• Finders: Medalist Capital Advisors Inc. and Research Capital Corp.; receive 6% cash commission of gross proceeds plus finder warrants equal to 6% of units sold through them (exercise price = offering price, 36‑month term).
• Use of Proceeds:
• Expand underground equipment fleet at Guanajuato Silver’s producing mines in Guanajuato and Durango.
• Finance improvements and capital expenditures for processing facilities at the Topia mine/mill complex.
• Cover corporate head‑office G&A costs (legal, audit, overhead) for the ensuing 12 months.
• Conduct detailed exploration at San Ignacio and El Cubo properties.
• Regulatory Framework: Offered under NI 45‑106 Part 5A listed issuer financing exemption; free trading in Canada (except Quebec) and other qualifying jurisdictions, with additional U.S. trade restrictions.
• Closing Timeline: Anticipated to close the week of 18 Aug 2025, subject to regulatory approvals including TSX Venture Exchange consent.
• Related‑Party Participation: Directors/officers may subscribe; deemed a related‑party transaction but expected to be exempt from MI 61‑101 valuation and minority‑shareholder approval thresholds (≤25% of market cap).

Notable Quotes

(No direct quotes were provided in the release.)