Silverco Announces Closing of Its $62.5 Million "Bought Deal" Offering
Silverco Announces Closing of Its $62.5
Million "Bought Deal" Offering
Vancouver, British Columbia--(Newsfile Corp. - February 19, 2026) - Silverco Mining Ltd. (TSXV: SICO)
("
Silverco
" or the "
Company
") is pleased to announce that it has closed its previously announced
"bought deal" offering (the "
Offering
") with Velocity Capital Partners ("
Velocity
") as sole bookrunner
and Desjardins Securities Inc. (together with Velocity, the "
Lead Underwriters
"), as co-lead
underwriters, on their own behalf and on behalf of a syndicate of underwriters which included ATB
Capital Markets Corp., Canaccord Genuity Corp., National Bank Financial Inc. and Raymond James Ltd.
(collectively, with the Lead Underwriters, the "
Underwriters
"), for aggregate gross proceeds of
$62,500,000.
Eric Sprott, a current insider of Silverco, participated in the Offering with a lead order of $10,000,000.
Pursuant to the Offering, the Company issued, on a "bought deal" basis, (i) 4,000,000 common shares
of the Company (the "
Offered Shares
") at a price of $12.50 (the "
Issue Price
") per Offered Share, for
aggregate gross proceeds to the Company of $50,000,000, and (ii) 1,000,000 units of the Company
(the "
Units
" and together with the Offered Shares, the "
Offered Securities
") at the Issue Price per Unit,
for additional aggregate gross proceeds to the Company of $12,500,000.
Each Unit consisted of one common share of the Company and one-quarter of one warrant, with each
whole warrant being exercisable for one common share of the Company at an exercise price of $18.00
per share for a period of 18 months from the date hereof.
Mark Ayranto, President and CEO, commented: "This $62.5 million financing provides the financial
strength to match our operational ambitions. Between the pending acquisition of Nuevo Silver and the
upcoming restart at Cusi, Silverco is undergoing a fundamental transformation. We are moving into 2026
with a robust balance sheet and a clear path to becoming a significant silver producer."
The Offered Securities were offered in each of the Provinces and Territories of Canada (other than
Québec) as to: (i) the Offered Shares in reliance on the "listed issuer financing exemption" from the
prospectus requirements available under National Instrument 45-106 −
Prospectus Exemptions
("
NI 45-
106
"), as modified by Coordinated Blanket Order 45-935 −
Exemptions from Certain Conditions of the
Listed Issuer Financing Exemption
(the "
Listed Issuer Financing Exemption
"); and (ii) the Units in
reliance on other exemptions from the prospectus requirements available under NI 45-106 other than the
Listed Issuer Financing Exemption (the "
Private Placement Exemption
").
The Offered Securities were also offered on a private placement basis in such offshore jurisdictions as
mutually agreed between the Company and Velocity, and in the United States pursuant to an exemption
from the registration requirements of the
United States Securities Act of 1933
(the "
U.S. Securities
Act
"), as amended. Any Offered Securities offered in the United States are characterized as "restricted
securities" under the U.S. Securities Act.
The net proceeds of the Offering will be used by the Company for exploration, evaluation and restart
work on the Cusi Project, general and administrative expenditures and working capital.
In consideration for their services, the Company paid to the Underwriters a cash fee equal to 5% of the
gross proceeds of the Offering, other than in connection with a subscription settled directly with the
Company for which no commission was paid.
The Offered Shares issued pursuant to the Listed Issuer Financing Exemption are not subject to resale
restrictions pursuant to applicable Canadian securities laws. The Units and the underlying securities
issued pursuant to the Private Placement Exemption are subject to a hold period of four months and one
day from the date hereof in accordance with applicable Canadian securities laws. The Offering remains
subject to the final acceptance of the TSX Venture Exchange ("
TSXV
").
Insiders of the Company subscribed for a total of 98,000 Offered Shares and 800,000 Units, for
aggregate gross proceeds of $11,225,000. The participation by each insider in the Offering constitutes
a "related party transaction", within the meaning of TSXV Policy 5.9 and Multilateral Instrument 61-101 -
Protection of Minority Security Holders in Special Transactions ("MI 61-101"). The Company has relied
on the exemptions from the formal valuation and minority shareholder approval requirements of MI 61-
101 contained in sections 5.5(a) and 5.7(1)(a) of MI 61-101, in respect of the related party participation
in the Offering, as neither the fair market value (as determined under MI 61-101) of the subject matter of,
nor the fair market value of the consideration for, the transaction, insofar as it involved the interested
parties, exceeded 25% of the Company's market capitalization (as determined under MI 61-101).There
is an amended and restated offering document related to the Offering that can be accessed on SEDAR+
(
www.sedarplus.ca
) under Silverco's issuer profile and on the Company's website at
www.silvercomining.com
.
The Offered Securities have not been registered and will not be registered under the U.S. Securities
Act of 1933, as amended, and may not be offered or sold in the United States absent registration or
an applicable exemption from the registration requirements. This news release shall not constitute an
offer to sell or the solicitation of an offer to buy nor shall there be any sale of the securities in any State
in which such offer, solicitation or sale would be unlawful.
About Silverco Mining Ltd.
The Company owns a 100% interest in the 11,665-hectare Cusi Project located in Chihuahua State,
Mexico (the "
Cusi Property
"). It lies within the prolific Sierra Madre Occidental gold-silver belt. There is
an existing 1,200 ton per day mill with tailings capacity at the Cusi Property.
The Cusi Property is a past-producing underground silver-lead-zinc-gold project approximately 135
kilometres west of Chihuahua City. The Cusi Property boasts excellent infrastructure, including paved
highway access and connection to the national power grid.
The Cusi Property hosts multiple historical Ag-Au-Pb-Zn producing mines each developed along multiple
vein structures. The Cusi Property hosts several significant exploration targets, including the extension of
a newly identified downthrown mineralized geological block and additional potential through claim
consolidation.
On Behalf of the Board of Directors,
Mark Ayranto, President & CEO
Email:
Phone:
778-888-4010
For further information, please contact:
Investor Relations & Communications
Email:
www.silvercomining.com
Cautionary Statement and Forward-Looking Information
This news release contains "forward-looking statements" within the meaning of the applicable Canadian
securities legislation that are based on expectations, estimates, assumptions, geological theories, and
projections as at the date of this news release. The information in this news release about any
information herein that is not a historical fact may be "forward-looking statements." Any statement that
involves discussions with respect to predictions, expectations, beliefs, plans, projections, objectives,
assumptions, future events or performance (which may, but not always, include phrases such as
"anticipates", "plans", "scheduled", "believed" or "intends" or variations of such words and phrases or
stating that certain actions, events or results "may" or "could", "would", "might" or "will" be taken to occur
or be achieved) including statements regarding the Company's plans with respect to the Company's
projects and the timing related thereto, the merits of the Company's projects, the Company's objectives,
plans and strategies, the use of proceeds of the Offering and other matters are not statements of
historical fact and may be forward-looking statements and are intended to identify forward-looking
statements.
Although the forward-looking statements contained in this news release are based upon what
management believes, or believed at the time, to be reasonable assumptions, the Company cannot
assure readers that actual results will be consistent with such forward-looking statements, as there may
be other factors that cause results not to be as anticipated, estimated or intended. Such factors include,
among others, with respect to the use of proceeds, the availability of drills and personnel, weather, the
speculative nature of mineral exploration and development, fluctuating commodity prices, risks relating to
the timing and ability of the Company to obtain and the timing of the approval of relevant regulatory
bodies, if at all; risks relating to property interests; risks related to access to the project; risks inherent in
mineral exploration, including the fact that any particular phase of exploration may be unsuccessful; the
availability of contractors; geo-political risks; the global economic climate; metal prices; environmental
risks; political risks; and community and non-governmental actions, as described in more detail in our
recent securities filings available on SEDAR+ (
www.sedarplus.ca
) under Silverco's issuer profile.
Further to this, geological similarities or characteristics are not guarantees or certainties of successful
exploration. Neither the Company nor any other person assumes responsibility for the accuracy and
completeness of any such forward-looking statements. Accordingly, readers should not place undue
reliance on forward-looking statements. When considering this forward-looking information, readers
should keep in mind the risk factors and other cautionary statements in the Company's disclosure
documents filed with the applicable Canadian securities regulatory authorities on SEDAR+
(
www.sedarplus.ca
) under Silverco's issuer profile. The risk factors and other factors noted in the
disclosure documents could cause actual events or results to differ materially from those described in
any forward-looking information. The Company disclaims any intention or obligation to update or revise
any forward-looking statements, whether as a result of new information, future events or otherwise,
except as required by law.
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is
defined in the policies of the TSX Venture Exchange) accepts responsibility for the adequacy
or accuracy of this release.
Not for distribution to United States newswire services or for dissemination in the United States
To view the source version of this press release, please visit
https://www.newsfilecorp.com/release/284514