M&A · Energy · Gold and Silver Ores
First Majestic Silver Corp to acquire Gatos Silver, Inc.
Announced Sep 5, 2024 · Closed Jan 16, 2025
Deal value$970MEV $888M
Premium16.1%To unaffected price
EV / Adj. EBITDA—
ConsiderationAll stock$13.49 per share
Transaction
- Acquirer
- First Majestic Silver Corp (AG)
- Target
- Gatos Silver, Inc. (GATO)
- Buyer type
- Strategic
- Offer price per share
- $13.49
- Enterprise value
- $888M
- Status
- Closed Jan 16, 2025
Deal protections
- Break fee (target pays)
- $28.0M · 2.9%
- Reverse fee (buyer pays)
- $46.0M · 4.7%
- Go-shop
- No-shop
- Financing
- —
Advisors
- To the acquirer
- National Bank Financial
- To the target
- BofA Securities
- BofA Securities fee
- $17.5M
Sector context · Energy
- Comparable deals
- 38 in the prior 24 months
- Premium
- 16.1% vs. 16.2% sector median
- EV / Adj. EBITDA
- Sector median 6.3x
- Break fee
- 2.9% vs. 2.9% sector median
Timeline
- AnnouncedSep 5, 2024
- Proxy filedDec 3, 2024
- Definitive proxyDec 3, 2024
- Shareholder voteJan 14, 2025
- ClosedJan 16, 2025
Valuation · fairness opinions
Trading comparables$7.33$12.83
Trading comparables$11.10$20.08
Trading comparables$7.33$10.99
Trading comparables$9.00$15.44
Discounted cash flow$5.98$6.50
Offer $13.49
Implied value per Gatos Silver, Inc. share by analysis, from BofA Securities · DCF discount rate 8.75%–11.75%.