On May 11, 2025, Pan American Silver Corp. (NYSE: PAAS; TSX: PAAS) has entered into a definitive agreement to acquire MAG Silver Corp. (NYSEAM: MAG; TSX: MAG) in a transaction valued at approximately US$2.1 billion (C$2.86 billion). The deal will be structured as a plan of arrangement under British Columbia law, with MAG shareholders receiving either US$20.54 per share in cash or 0.755 Pan American shares, or a combination thereof, subject to proration. The transaction includes US$500 million (C$680 million) in cash, with the remainder in Pan American equity. Upon closing, MAG shareholders will own roughly 14% of the combined entity.

The acquisition grants Pan American a 44% interest in the high-grade, low-cost Juanicipio silver mine in Mexico, operated by Fresnillo plc. The deal adds 58 Moz of silver to Pan American’s reserves and enhances its position as a top-tier Americas-focused silver producer. It also includes MAG’s exploration projects Deer Trail and Larder.

The boards of both companies, and a special committee of MAG’s independent directors, unanimously approved the transaction. MAG’s directors and officers have entered into support agreements.

National Bank Financial and Borden Ladner Gervais LLP advised Pan American. MAG was advised by BMO Capital Markets, GenCap Mining Advisory Ltd., Blake, Cassels & Graydon LLP (Canada), and Paul, Weiss, Rifkind, Wharton & Garrison LLP (U.S.). Raymond James Ltd. provided a fairness opinion to MAG’s special committee.

The transaction was completed on September 4, 2025.