New Pacific Metals Secures C$40.4 Million Financing with Major Mining Company Backing

New Pacific Metals Corp. has completed a major C$40.4 million financing round through a bought deal arrangement, signaling strong market confidence in the company's Bolivian precious metal projects. The financing involved the issuance of 11,385,000 common shares at C$3.55 per share, with the full exercise of the underwriters' over-allotment option contributing to the total gross proceeds of approximately C$40.42 million. The transaction featured significant participation from two major mining companies, demonstrating strategic industry support for New Pacific's development plans.

Silvercorp Metals Inc. invested C$10.95 million for 3,083,536 shares, maintaining its substantial 27.99% stake in the company. Simultaneously, Pan American Silver Corp. purchased 1,263,416 shares for C$4.49 million, representing 11.47% ownership in New Pacific Metals. Both investments qualified as related party transactions under MI 61-101 regulations but were exempt from standard valuation and minority approval requirements, streamlining the financing process. The syndicate of underwriters operated under an agreement dated October 15, 2025, facilitating the successful completion of the capital raise. Additional details about the financing arrangement are available in the full press release.

The substantial capital infusion comes at a critical time for New Pacific as the company advances its portfolio of Bolivian precious metal projects. The company's flagship Silver Sand Silver Project represents a significant development opportunity, while the recently discovered Carangas Silver-Gold Project and the Silverstrike Silver-Gold Project provide additional growth potential in the region. The financing strengthens New Pacific's balance sheet and provides necessary resources for continued exploration and development activities.

Industry observers note that the participation of established mining companies like Silvercorp Metals and Pan American Silver provides validation of New Pacific's asset quality and development strategy. The maintained ownership percentages indicate ongoing confidence in the company's direction and prospects. Market participants can access additional company information through the company's newsroom for ongoing updates about project developments and corporate announcements.

The successful financing round positions New Pacific Metals to accelerate development timelines and potentially advance key projects toward production. The capital raise demonstrates the mining sector's continued interest in Bolivian mineral opportunities and reflects broader market trends in precious metals exploration funding. The transaction's structure and timing suggest careful planning to maximize shareholder value while securing necessary development capital for the company's growing portfolio of precious metal assets in Bolivia.