Endeavour Silver Completes US$350 Million Offering of Convertible Senior Notes
Rhea-AI Summary
Endeavour Silver (NYSE: EXK) closed a US$350 million offering of 0.25% unsecured convertible senior notes due 2031, which includes the full exercise of a US$50 million option. The initial conversion rate is 80.2890 shares per US$1,000 (about US$12.455 per share).
Net proceeds are intended to repay the company's senior secured credit facility, fund advancement of the Pitarrilla project in Durango, Mexico, and for general corporate purposes, including strategic opportunities. The Notes and shares issuable on conversion are not registered under the U.S. Securities Act and were offered only to qualified institutional buyers and outside the U.S. under Regulation S.
Positive
- US$350 million raised including full US$50 million option
- Conversion price set at approximately US$12.455 per share
- Proceeds earmarked to repay senior secured credit facility
- Proceeds to fund Pitarrilla project advancement
Negative
- Notes are unsecured, maturing in 2031
- Potential share dilution if Notes convert at US$12.455
- Securities not registered in U.S. or Canada, limiting resale
News Market Reaction
On the day this news was published, EXK declined 2.58%, reflecting a moderate negative market reaction. Argus tracked a peak move of +6.7% during that session. Our momentum scanner triggered 8 alerts that day, indicating moderate trading interest and price volatility. This price movement removed approximately $71M from the company's valuation, bringing the market cap to $2.69B at that time.
Data tracked by StockTitan Argus on the day of publication.
Key Figures
Market Reality Check
Peers on Argus
Among key precious metals peers, SVM (+2.89%), AG (+4.41%), CGAU (+3.55%), and ERO (+3.18%) were positive, while MAG (-1.96%) declined, suggesting mixed but generally constructive sector action rather than a uniform move tied to this specific financing.
Historical Context
| Date | Event | Sentiment | Move | Catalyst |
|---|---|---|---|---|
| Dec 04 | Convertible notes closing | Neutral | -2.6% | Closed US$350M 0.25% convertible senior notes due 2031 with full option. |
| Dec 01 | Convertible notes pricing | Neutral | -5.3% | Priced 2031 convertible notes targeting US$300M, upsized to US$350M with option. |
| Dec 01 | Convertible notes launch | Neutral | -5.3% | Launched private offering of US$300M 2031 convertible notes with US$45M option. |
| Nov 24 | Asset sale agreement | Positive | +6.1% | Agreed to sell Bolañitos mine to Guanajuato Silver for up to US$50M total value. |
| Nov 07 | Q3 2025 earnings | Neutral | -1.6% | Reported higher production/revenue and Terronera commercial start but a US$42M net loss. |
Recent capital-raising headlines (convertible notes and ATM) often coincided with noticeable price moves, with the December 2025 note-related events showing single-day declines of -5.34% and -2.58%, while a July 2025 ATM announcement saw a +7.35% reaction.
Over the past months, Endeavour Silver has combined operational growth with active balance sheet management. Q3 2025 results showed higher production and revenue but a $42.0M net loss and working capital of ($56.1M). Strategically, the company agreed to sell the Bolañitos mine for up to US$50M and advanced multiple financings, including a July 2025 ATM of up to US$60M and December 2025 convertible senior notes of up to US$350M. Today’s completion of the convertible notes aligns with this broader funding and project-advancement roadmap, especially around Pitarrilla and Terronera.
Market Pulse Summary
This announcement completes Endeavour Silver’s US$350M 0.25% unsecured convertible senior notes due 2031, with an initial conversion price of US$12.4550 per share. Net proceeds are earmarked to repay its senior secured credit facility, advance the Pitarrilla project in Mexico, and support general corporate purposes. In recent months, the company has paired higher Q3 production of 3.04M oz and revenue of $111.4M with active portfolio changes, including the planned sale of the Bolañitos mine and an ATM program, underscoring an ongoing capital-structure transition.
Key Terms
convertible senior notes financial
qualified institutional buyers financial
Rule 144A regulatory
Regulation S regulatory
Securities Act regulatory
AI-generated analysis. Not financial advice.
VANCOUVER, British Columbia, Dec. 04, 2025 (GLOBE NEWSWIRE) -- Endeavour Silver Corp. (“Endeavour” or the “Company”) (NYSE: EXK; TSX: EDR) announced today the closing of its previously announced offering (the “Offering”) of US
Endeavour intends to use the net proceeds of the Offering to repay its senior secured debt facility with ING Capital LLC (together with ING Bank N.V.) and Societe Generale (the “Credit Facility”), to fund the advancement of its Pitarrilla project located in Durango State, Mexico, and for general corporate purposes, including strategic opportunities.
The Notes and the Shares issuable upon the conversion thereof have not been and will not be registered under the U.S. Securities Act of 1933, as amended (the “Securities Act”), registered under any state securities laws, or qualified by a prospectus in Canada. The Notes and the Shares may not be offered or sold in the United States absent registration under the Securities Act or an applicable exemption from registration under the Securities Act. The Notes were offered only to "qualified institutional buyers" (as defined in Rule 144A under the Securities Act) in the United States and outside of the United States in accordance with the requirements of Regulation S under the Securities Act. The Notes may not be offered or sold in Canada except pursuant to exemptions from the prospectus requirements of applicable Canadian provincial and territorial securities laws.
This news release is neither an offer to sell nor the solicitation of an offer to buy the Notes or the Shares issuable upon the conversion thereof, and shall not constitute an offer to sell or solicitation of an offer to buy, or a sale of, the Notes or the Shares issuable upon the conversion thereof in any jurisdiction in which such offer, solicitation or sale is unlawful.
About Endeavour Silver – Endeavour is a mid-tier silver producer with four operating mines in Mexico and Peru and a robust pipeline of exploration projects across Mexico, Chile, and the United States. With a proven track record of discovery, development, and responsible mining, Endeavour is driving organic growth and creating lasting value on its path to becoming a leading senior silver producer.
For Further Information, Please Contact
Allison Pettit
Vice President Investor Relations
Email: apettit@edrsilver.com
Cautionary Note Regarding Forward-Looking Statements
This news release contains “forward-looking statements” within the meaning of the United States Private Securities Litigation Reform Act of 1995 and “forward-looking information” within the meaning of applicable Canadian securities legislation. Such forward-looking statements and information herein include, but are not limited to, statements regarding the proposed use of proceeds of the Offering and the repayment of the Credit Facility. The forward-looking statements or information contained in this press release is expressly qualified by this cautionary statement. Any forward-looking information and the assumptions made with respect thereto speaks only as of the date of this press release. The Company does not intend to and does not assume any obligation to update such forward-looking statements or information, other than as required by applicable law.
Forward-looking statements or information involve known and unknown risks, uncertainties and other factors that may cause the actual results, level of activity, production levels, performance or achievements of Endeavour and its operations to be materially different from those expressed or implied by such statements. Such factors include but are not limited to unexpected changes in production and costs guidance; the ongoing effects of inflation and supply chain issues on mine economics; fluctuations in the prices of silver and gold; fluctuations in the currency markets (particularly the Mexican peso, Chilean peso, Canadian dollar, Peruvian sol, and U.S. dollar); fluctuations in interest rates; effects of inflation; changes in national and local governments, legislation, taxation, controls, regulations and political or economic developments in Canada, Peru and Mexico; financial risks due to precious metals prices; operating or technical difficulties in mineral exploration, development and mining activities; risks and hazards of mineral exploration, development and mining (including, but not limited to environmental hazards, industrial accidents, unusual or unexpected geological conditions, pressures, cave-ins and flooding); inadequate insurance, or inability to obtain insurance; availability of and costs associated with mining inputs and labour; the speculative nature of mineral exploration and development; diminishing quantities or grades of mineral reserves as properties are mined; risks in obtaining necessary licenses and permits; and challenges to the Company’s title to properties; as well as those factors described in the section “Risk Factors” contained in the Company’s most recent Form 40-F and Annual Information Form and subsequent quarterly reports.
Forward-looking statements are based on assumptions management believes to be reasonable, including but not limited to: the continued operation of the Company’s mining operations, no material adverse change in the market price of commodities, forecasted mine economics, mining operations will operate and the mining products will be completed in accordance with management’s expectations and achieve their stated production outcomes, and such other assumptions and factors as set out herein. Although the Company has attempted to identify important factors that could cause actual results to differ materially from those contained in forward-looking statements or information, there may be other factors that cause results to be materially different from those anticipated, described, estimated, assessed or intended. There can be no assurance that any forward-looking statements or information will prove to be accurate as actual results and future events could differ materially from those anticipated in such statements or information. Accordingly, readers should not place undue reliance on forward-looking statements or information.
FAQ
What did Endeavour Silver (EXK) announce on December 4, 2025?
How many Endeavour shares convert per US$1,000 of notes (EXK)?
How will Endeavour use the net proceeds from the US$350 million offering?
Will the new Endeavour notes (EXK) be registered for public resale in the U.S.?
Does the offering affect Endeavour's leverage and liquidity (EXK)?
