New Pacific Metals Corp. (TSX: NUAG) (NYSE American: NEWP) announced that it has closed  the bought deal financing that was previously announced on September 25, 2023. A total of 13,208,000 common shares of the Company were sold under the Offering (as defined below) at a price of C$2.65 per Offered Share for total gross proceeds of approximately C$35 million. The Offering was co-led by Raymond James Ltd. and Eight Capital, on behalf of a syndicate of underwriters, pursuant to the terms of an underwriting agreement between the Company and the Underwriters dated September 26, 2023.

Silvercorp Metals Inc. participated in the Offering by subscribing for 2,541,890 Offered Shares, representing approximately US$5 million in gross proceeds (approximately C$6.7 million). As of the Closing, Silvercorp owns, directly and indirectly, approximately 27.4% of the outstanding common shares of the Company. Silvercorp is a related party of the Company for the purposes of National Instrument 61-101 — Protection of Minority Security Holders in Special Transactions and the acquisition by Silvercorp of Offered Shares pursuant to the Offering was a related party transaction. The acquisition by Silvercorp of Offered Shares pursuant to the Offering was exempt from the valuation and minority approval requirements of NI 61-101 pursuant to the exemptions in Sections 5.5(a) and 5.7(a) of NI 61-101.

Pan American Silver Corp. participated in the Offering by subscribing for 5,083,780 Offered Shares, representing approximately US$10 million in gross proceeds (approximately C$13.5 million). As of the Closing, Pan American owns, directly and indirectly, approximately 11.6% of the outstanding Common Shares.

The Offering was completed by way of a prospectus supplement dated September 26, 2023 to the Company’s short form base shelf prospectus dated August 16, 2023. Copies of the Prospectus Supplement and Base Shelf Prospectus are available under the Company’s profile on the System for Electronic Data Analysis and Retrieval + (“SEDAR+“) at www.sedarplus.ca.

The Company intends to use the net proceeds of the Offering to advance exploration and development at the Company’s Silver Sand and Carangas projects and for operating expenses, as disclosed in the Prospectus Supplement.

No securities regulatory authority has either approved or disapproved of the contents of this news release.

The Offered Shares issued pursuant to the Offering have not been, and will not be, registered under the United States Securities Act of 1933, as amended (the “U.S. Securities Act“), or the securities laws of any state of the United States, and may not be offered or sold in the United States or to, or for the account or benefit of, U.S. persons absent U.S. registration or an applicable exemption from the U.S. registration requirements. This news release shall not constitute an offer to sell or the solicitation of an offer to buy Common Shares in any jurisdiction, nor shall there be any sale of the Common Shares in any jurisdiction in which such offer, solicitation or sale would be unlawful.

ABOUT NEW PACIFIC

New Pacific is a Canadian exploration and development company with precious metal projects in Bolivia, including the Company’s flagship project, the Silver Sand Silver Project, the Company’s recently discovered Carangas Silver-Gold Project and the Company’s third project, the Silverstrike Silver-Gold Project.