Endeavour Silver Prices $300 Million Convertible Notes Offering
Written by Emily J. Thompson, Senior Investment Analyst
Source: Newsfilter
- Financing Size: Endeavour Silver announced a $300 million offering of unsecured convertible senior notes, which could increase to $350 million if the purchase option is fully exercised, aimed at optimizing capital structure and enhancing financial flexibility.
- Bond Interest Rate: The notes will bear a cash interest rate of 0.25% per annum, enabling Endeavour to effectively lower financial costs and improve overall profitability through low-cost financing.
- Use of Proceeds: The net proceeds will be used to repay senior secured debt with ING Capital and Societe Generale, and to advance the Pitarrilla project in Durango, Mexico, demonstrating the company's focus on future growth.
- Market Reaction: The initial conversion price of approximately $12.455 per share represents a 32.5% premium over the current market price, which may attract investor interest and bolster market confidence.
About the author
Emily J. Thompson
Emily J. Thompson, a Chartered Financial Analyst (CFA) with 12 years in investment research, graduated with honors from the Wharton School. Specializing in industrial and technology stocks, she provides in-depth analysis for Intellectia’s earnings and market brief reports.
