Silver Storm Mining closes C$13.8 million private placement

Silver Storm Mining Ltd. (TSX.V: SVRS) completed a private placement raising C$13,766,250 in gross proceeds, the company announced. The mining company sold 55,065,000 units at C$0.25 per unit, with Red Cloud Securities Inc. serving as sole underwriter.

Each unit includes one common share and half of one warrant. The warrants allow holders to purchase additional common shares at C$0.35 until September 22, 2028.

The offering consisted of 51,200,000 units sold under Canada's listed issuer financing exemption, with shares expected to be immediately tradeable for Canadian purchasers. The remaining 3,865,000 units were sold to accredited investors and institutional buyers in Canada, the United States, and other jurisdictions under private placement exemptions.

Silver Storm stated it plans to use proceeds to advance the restart of its La Parrilla Silver Mine Complex in Durango, Mexico, along with general corporate purposes and working capital.

The underwriter received C$824,475 in cash fees and 3,297,900 broker warrants exercisable at the offering price until September 22, 2028.

Silver Storm acquired the La Parrilla complex in 2023, which includes a 2,000 tons-per-day mill and multiple mining operations that produced 34.3 million silver-equivalent ounces between 2005 and 2019. The company also holds the San Diego Project silver asset in Mexico.

The transaction remains subject to final approval from the TSX Venture Exchange. Certain securities are subject to a statutory hold period until January 23, 2026.

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