Zacatecas Silver closes $2.5M private placement

Zacatecas Silver Corp. (TSXV: ZAC | OTCQB: ZCTSF) has closed the second and final tranche of a non-brokered private placement, issuing 14,639,941 units at $0.07 per unit for gross proceeds of approximately $1,024,796.

Across the full offering, the company issued 35,714,142 units at $0.07 per unit for total gross proceeds of approximately $2,500,000. Each unit consists of one common share and one warrant, with each warrant exercisable at $0.09 per share for two years from closing.

The warrants include an acceleration clause allowing the company to shorten the expiry to 30 days if the 20-day volume-weighted average trading price of its common shares reaches or exceeds $0.18 following the applicable hold period.

Director Charles Hethey participated in the second tranche, subscribing indirectly through a controlled corporation for 300,000 units. The company classified this as a related party transaction under Multilateral Instrument 61-101, relying on exemptions from formal valuation and minority shareholder approval requirements.

In connection with the second tranche, the company paid $4,256.42 in finders fees and issued 60,805 finder warrants. For the full offering, total finders fees amounted to $71,190 with 1,016,999 finder warrants issued. All securities issued are subject to a four-month-and-one-day hold period under Canadian securities laws.

Proceeds are intended to fund a maiden drill program at the company's Oso Negro project in Sonora, Mexico, along with continued exploration across its six-project Mexican portfolio and general working capital.

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