COFECE Greenlights Pan American’s Acquisition of MAG Silver

Pan American Silver and MAG Silver announced that the Mexican Federal Economic Competition Commission (COFECE) approved the acquisition of MAG Silver by Pan American. Once the transaction is completed, Pan American Silver will gain exposure to one of Mexico’s largest silver-producing mines: the Juanicipio mine in Zacatecas. 

With this decision, the companies stated that all required regulatory, shareholder, and court approvals for the arrangement have now been received. The transaction is now anticipated to be completed around Sept. 4, 2025.

As part of the final steps, registered shareholders of MAG Silver have until 2:00 p.m. (Vancouver time) on Aug. 27, 2025, to elect their preferred form of consideration. Shareholders can choose to receive either US$20.54 in cash per share or a default option of 0.755 of a Pan American common share and US$0.0001 in cash per share.

The total consideration is subject to proration to ensure that the aggregate amount paid to all MAG shareholders consists of US$500 million in cash, with the remaining value paid in Pan American shares.

On May 15, 2025, MBN reported that Pan American Silver had agreed to acquire MAG Silver in a transaction valued at approximately US$2.1 billion. The terms of the deal specified that MAG Silver shareholders would receive a total of US$500 million in cash and the remainder in Pan American shares. The primary asset in the acquisition is MAG Silver's 44% interest in the large-scale, high-grade Juanicipio silver mine. “Our acquisition of MAG Silver brings into Pan American’s portfolio one of the best silver mines in the world. Furthermore, we see future growth opportunities through the significant exploration potential at Juanicipio as well as MAG’s Deer Trail and Larder properties. This strategic acquisition further solidifies Pan American as a leading Americas-focused silver producer,” said at that time Michael Steinmann, President and CEO, Pan American Silver.