Agnico Eagle acquires C$8.25 million stake in Fuerte Metals

TORONTO - Agnico Eagle Mines Limited (NYSE:AEM) (TSX:AEM), a mining giant with an $85 billion market capitalization and impressive 32% year-over-year revenue growth, has acquired 5,000,000 subscription receipts from a subsidiary of Fuerte Metals Corporation at C$1.65 per receipt for a total investment of C$8.25 million, according to a press release issued Thursday.

The subscription receipts will automatically convert into units comprising one common share and one purchase warrant upon satisfaction of escrow release conditions. Each warrant will allow Agnico Eagle to acquire an additional common share at C$2.50 within five years.

Prior to this investment, Agnico Eagle owned approximately 8.43% of Fuerte’s outstanding shares. Following the transaction’s completion and assuming certain conditions are met, Agnico Eagle is expected to own about 8.12% of Fuerte’s shares on a non-diluted basis and 11.65% on a partially-diluted basis if all warrants are exercised.

The investment aligns with Agnico Eagle’s strategy of acquiring positions in projects with high geological potential while maintaining focus on its internal growth pipeline.

Under an existing investor rights agreement from January 2024, Agnico Eagle maintains certain privileges with Fuerte, including participation rights in future equity financings and the ability to maintain its ownership percentage following dilutive issuances.

Agnico Eagle, Canada’s largest mining company and the world’s second-largest gold producer, operates precious metals mines across Canada, Australia, Finland, and Mexico.

In other recent news, Agnico Eagle Mines Limited reported impressive financial results for the second quarter of 2025, with earnings per share reaching CAD 1.94, surpassing the forecast of CAD 1.75. The company also achieved record revenue of CAD 2.8 billion, exceeding expectations of CAD 2.65 billion. Additionally, Agnico Eagle completed the sale of its entire 11.3% stake in Orla Mining Ltd. for C$560.5 million and divested its entire stake in Royal Road Minerals Limited for C$5.5 million. In contrast, the company acquired 586,619 units of Maple Gold Mines Ltd. through a private placement valued at approximately $351,971. Each unit includes one common share and one purchase warrant, allowing Agnico Eagle to purchase additional shares at C$0.85 per share over the next 36 months. Furthermore, Moody’s Ratings upgraded Agnico Eagle’s long-term issuer rating to A3 from Baa1, citing the company’s debt reduction efforts and stable gold production. These developments reflect Agnico Eagle’s strategic financial maneuvers and strengthening credit profile.

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