TORONTO (miningweekly.com) – The world’s largest precious metals streamer Silver Wheaton on Thursday launched a $575-million bought-deal financing to raise funds to repay a portion of the debt that was drawn on the company’s $2-billion revolving credit facility in November, to acquire the $900-million silver stream on the Antamina mine, in Peru.
The TSX- and NYSE-listed company had reached an agreement with a syndicate of underwriters led by RBC Capital Markets, BMO Capital Markets, CIBC Capital Markets and Scotiabank to buy 30.12-million Silver Wheaton common shares at $16.60 apiece, for gross proceeds of $500-million.
Vancouver-based Silver Wheaton also agreed to grant to the underwriters an option to buy an additional 4.51-million common shares at a price of $16.60 each, on the same terms and conditions as the offering, exercisable at any time during the 30 days following closing of the offering, which could result in total gross proceeds of $575-million.
As at December 31, the company had about $103-million of cash on hand and $1.5-billion outstanding under the revolving facility.