Santacruz Silver's Wholly Owned Bolivian Subsidiary, San Lucas, Successfully Completes Oversubscribed Bs 70M Promissory Note Issuance Under New Program, Advancing Transition from Prior Facility
Rhea-AI Summary
Santacruz Silver (NASDAQ: SCZM) announced that its Bolivian subsidiary, San Lucas, completed the third promissory note offering under its Program on April 8, 2026, raising Bs 70 million in gross proceeds.
The notes carry a 10.8168% annual interest rate, mature on March 22, 2027, are unsecured, and the Offering was oversubscribed by ~40%, priced above par and fully placed in ~15 minutes, bringing Program utilization to Bs 140 million.
Positive
- Raised Bs 70 million in gross proceeds
- Offering oversubscribed by approximately 40%
- Placed above par and fully subscribed in ~15 minutes
- Program now fully placed at Bs 140 million
- First offering of Bs 70 million was fully repaid on Feb 18, 2026
Negative
- Notes are unsecured, increasing creditor risk
- Short maturity (Mar 22, 2027) implies refinancing requirement within ~11 months
- Funding cost is relatively high at 10.8168% annual interest
News Market Reaction – SCZM
In the Apr 10 session, SCZM declined 1.72%, reflecting a mild negative market reaction.
Data tracked by StockTitan Argus on the day of publication.
AI-generated analysis. How Rhea-AI works. Not financial advice.
Vancouver, British Columbia--(Newsfile Corp. - April 9, 2026) - Santacruz Silver Mining Ltd. (NASDAQ: SCZM) (TSXV: SCZ) ("Santacruz" or the "Company") is pleased to announce that its wholly owned Bolivian subsidiary, Empresa Minera San Lucas S.A. ("San Lucas"), has successfully completed the third offering (the "Offering") under its promissory note program (the "Program"), "Pagarés Bursátiles San Lucas - Emisión 3," in the Bolivian capital markets on April 8, 2026.
The Offering was completed for gross proceeds of Bs 70 million. The notes have an annual interest rate of
The Program has a maximum authorized amount of BS 140 million. The first offering of Bs 70 million was fully repaid on February 18, 2026, restoring capacity under the Program. The second offering of Bs 70 million was completed on August 11, 2025. With this third offering of Bs 70 million, the Program is once again fully placed at Bs 140 million.
The Offering was executed through the Bolsa Boliviana de Valores, and attracted strong participation from the Bolivian investor community. The results reflect continued confidence in San Lucas' ore sourcing and trading business, as well as in Santacruz's broader operating platform, financial profile, and long-term strategy in Bolivia.
Arturo Préstamo, Executive Chairman and CEO of Santacruz, commented: "The speed of execution, the above-par pricing, and the strong oversubscription of this Offering clearly reflect the confidence that the Bolivian capital markets continue to place in San Lucas, as well as in Santacruz's broader business platform. With this Offering, we have once again fully utilized the full Bs 140 million Program, reinforcing our disciplined approach to capital management and our ability to access funding efficiently."
Mr. Préstamo continued: "This Offering is also a strong endorsement of the quality and credibility of our business model. San Lucas plays an important strategic role within Santacruz, strengthening our operating platform in Bolivia and supporting long-term value creation for our shareholders."
Please refer to the Company's news releases dated February 27, 2025 and August 11, 2025, for details of the first and second offerings, respectively.
About Santacruz Silver Mining Ltd.
Santacruz Silver is engaged in the operation, acquisition, exploration, and development of mineral properties across Latin America. In Bolivia, the Company operates the Bolivar, Porco, and Caballo Blanco mining complexes, with Caballo Blanco comprising the Tres Amigos and Colquechaquita mines. The Reserva mine, whose production is provided to the San Lucas ore sourcing and trading business, is also located in Bolivia. Additionally, the Company oversees the Soracaya exploration project. In Mexico, Santacruz operates the Zimapan mine.
* Bs refers to the Bolivian boliviano (BOB). The official Exchange Rate in Bolivia is BOB 6.96 per US
'signed'
Arturo Préstamo Elizondo,
Executive Chairman and CEO
For further information please contact:
Arturo Préstamo
Santacruz Silver Mining Ltd.
Email: info@santacruzsilver.com
Telephone: +52 81 83 785707
Andrés Bedregal
Santacruz Silver Mining Ltd.
Email: info@santacruzsilver.com
Telephone: +591 22444849
Eduardo Torrecillas
Santacruz Silver Mining Ltd.
Email: info@santacruzsilver.com
Telephone: +591 22444849
Neither the TSX Venture Exchange nor its Regulation Services Provider (as that term is defined in the policies of the TSX Venture Exchange) nor the Nasdaq Capital Market LLC accepts responsibility for the adequacy or accuracy of this news release. No stock exchange, securities commission or other regulatory authority has approved or disapproved the information contained herein.
To view the source version of this press release, please visit https://www.newsfilecorp.com/release/291840