Silver Storm Mining announces C$13 million bought deal financing

TORONTO - Silver Storm Mining Ltd. (TSXV:SVRS) announced Wednesday it has entered into a bought deal private placement agreement with Red Cloud Securities to raise C$13 million, with an option to increase proceeds by an additional C$2 million. The announcement comes as the company’s stock trades at US$0.13, having delivered impressive returns of 67% year-to-date and 120% over the past year, according to InvestingPro data.

Under the agreement, Red Cloud will purchase 52 million units priced at C$0.25 per unit, with each unit consisting of one common share and one-half of a common share purchase warrant. Each whole warrant will entitle the holder to purchase one additional common share at C$0.35 for a period of 36 months after closing.

The company plans to use the net proceeds to advance the restart of its La Parrilla Silver Mine Complex in Durango, Mexico, as well as for general corporate purposes and working capital.

The offering is expected to close on September 22, 2025, subject to regulatory approvals including from the TSX Venture Exchange.

Up to 51.2 million units will be offered under the listed issuer financing exemption, making the underlying shares immediately freely tradeable under applicable Canadian securities legislation for Canadian purchasers.

Silver Storm Mining acquired 100% of the La Parrilla Silver Mine Complex in 2023. The operation includes a 2,000 tpd mill, five underground mines, and an open pit that collectively produced 34.3 million silver-equivalent ounces between 2005 and 2019. Currently trading at 69% below its 52-week high of US$0.19, investors seeking deeper insights into Silver Storm’s valuation and growth potential can access additional analysis through InvestingPro, which offers exclusive financial metrics and expert insights.

The information in this article is based on a press release statement issued by the company.

In other recent news, Silver Storm Mining Ltd. announced that shareholders of Till Capital Corporation have approved the acquisition deal between the two companies. This transaction was initially disclosed earlier this year and involves Silver Storm acquiring 100% of Till Capital’s issued and outstanding common shares. The acquisition will be completed through a court-approved plan of arrangement. This development marks a significant step for Silver Storm in expanding its business operations. The approval by Till Capital’s shareholders was a crucial requirement for the transaction to proceed. This acquisition is expected to impact the strategic direction and operations of both companies. Investors are keeping a close eye on how this merger will unfold in the coming months.

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