The Mexican Federal Economic Competition Commission (COFECE) has given its approval for Pan American Silver's acquisition of all issued and outstanding common shares of MAG Silver.

This marks the final regulatory endorsement required to complete the arrangement, which is scheduled to conclude around 4 September 2025.

Following a definitive agreement signed in May, Pan American Silver is set to acquire MAG Silver for a total consideration of approximately $2.1bn (C$2.91bn).

The transaction has now secured all necessary regulatory, shareholder and court approvals including the final court order.

Registered holders of MAG Silver shares have until 2pm (Vancouver time) on 27 August 2025 to decide whether to receive either $20.54 in cash per MAG share or the default election of $0.0001 in cash and 0.755 of a Pan American common share per MAG share held.

The consideration is structured such that the aggregate cash paid to all MAG shareholders will amount to $500m, with the remaining consideration provided in Pan American shares.

The offer for MAG Silver's shares represents a premium of 21–27% over the closing and 20-day volume-weighted average price as of 9 May 2025.

In a related development, Unico Silver entered into a definitive agreement in August last year, through a binding letter of intent (LOI), to take over complete control of Pan American’s Joaquin and Cerro Puntudo projects in Argentina.

The acquisition of the Joaquin Silver District includes 16 mining claims spanning more than 35,000 hectares and is situated 60km to the west of Cerro Leon, with the area being readily accessible through public Routes 12 and 75.