VANCOUVER – Pan American Silver Corp. has signed a deal to acquire MAG Silver Corp. in a stock-and-cash offer valued at US$2.1 billion.
MAG holds a 44 per cent joint venture interest in the Juanicipio mine, operated by Fresnillo plc, which holds the remaining stake.
MAG chief executive George Paspalas says the deal represents a compelling opportunity for shareholders, providing an immediate premium and meaningful exposure to Pan American’s world-class assets and growth strategy.
Under the terms of the deal, MAG shareholders will be able to choose to receive payment in the form of US$20.54 in cash per share, 0.755 common shares of Pan American per share, or a combination of the two, subject to proration with the total amount of cash available under the offer capped at US$500 million.
MAG Silver shares were up C$1.93 or eight per cent at C$25.51 in trading on the Toronto Stock Exchange on Monday morning.
Following completion of the deal, existing MAG shareholders will own a roughly 14 per cent stake in Pan American on a fully diluted basis.
This report by The Canadian Press was first published May 12, 2025.
Companies in this story: (TSX:PAAS, TSX:MAG)
