Pan American (PAAS) Agrees to Acquire MAG Silver

Pan American Silver Corp. (NYSE:PAAS) is one of the 10 Best Gold Stocks To Buy Right Now. On May 11, Pan American Silver Corp. (NYSE:PAAS) announced that it has entered into a definitive agreement to acquire MAG Silver Corp.

Pan American Silver Corp. (NYSE:PAAS) will acquire all of the issued and outstanding common shares of MAG Silver Corp. through a plan of arrangement.

A large drill in operation deep in a mine, surrounded by the machinery of a modern extraction site.

MAG Silver Corp. is a tier-one primary silver mining company that owns a 44% joint venture interest in the Juanicipio mine. The remaining 56% interest in the mine is owned by Fresnillo plc, which also operates the mine. The Juanicipio mine is a large-scale, high-grade, low-cost silver mine in Zacatecas, Mexico.

As part of the agreement, MAG shareholders will receive about $2.1 billion in total, which represents $20.54 per MAG share.

This deal creates significant value for Pan American Silver Corp. (NYSE:PAAS) by giving the company 44% ownership in the Juanicipio mine. The mine has good opportunities for further exploration and strengthens the company’s position as one of the world’s premier silver producers. The Juanicipio mine is expected to produce between 14.7 and 16.7 million ounces of silver in 2025.

Pan American Silver Corp. (NYSE:PAAS) is a leading producer of silver and gold in the Americas. The company operates mines in Canada, Mexico, Peru, Brazil, Bolivia, Chile, and Argentina.

While we acknowledge the potential of PAAS as an investment, we believe certain AI stocks offer greater upside potential and carry less downside risk. If you’re looking for an extremely undervalued AI stock that also stands to benefit significantly from Trump-era tariffs and the onshoring trend, see our free report on the best short-term AI stock.

READ NEXT: 11 Stocks That Will Bounce Back According To Analysts and 11 Best Stocks Under $15 to Buy According to Hedge Funds.

Disclosure: None.