|Date Announced:||December 27, 2018|
|Date Closed:||December 27, 2018|
|Client Name:||First Majestic Silver Corp.|
On December 27, 2018 First Majestic Silver Corp. entered into an equity distribution agreement with BMO Capital Markets Corp., as sole agent, pursuant to which First Majestic may sell common shares of the Company for aggregate gross proceeds of up to US$50.0 million. Sales of Common Shares will be made through the agent as “at-the-market distributions” on the New York Stock Exchange or any other recognized marketplace upon which the common shares are listed or quoted or where the common shares are traded in the United States. No offers or sales of common shares will be made on the Toronto Stock Exchange or other trading markets in Canada.
The offering will be made by way of a prospectus supplement dated December 27, 2018 to the base prospectus included in the Company’s existing US registration statement on Form F-10 and Canadian short form base shelf prospectus dated November 5, 2018. The prospectus supplement relating to the offering has been filed with the securities commissions in each of the provinces of Canada (other than Québec) and the United States Securities and Exchange Commission.
The Company expects to use the net proceeds of the offering, if any, together with the Company’s current cash resources, to develop and/or improve the Company's existing mines and to add to the Company's working capital.
In connection with the Offering Bennett Jones LLP acted as Canadian legal counsel to the Company with a team consisting of James Beeby, Lisa Stewart and Nick Karakochuk (Capital Markets) and Anu Nijhawan (Tax).
First Majestic is a mining company focused on silver production in Mexico and is aggressively pursuing the development of its existing mineral property assets. The Company presently owns and operates the San Dimas Silver/Gold Mine, the Santa Elena Silver/Gold Mine, the La Encantada Silver Mine, the La Parrilla Silver Mine, the San Martin Silver Mine and the Del Toro Silver Mine.