Tuesday, May 24, 2016

Excessive Demand On Americas Silver Shares

Due to the strong demand on its shares, today Americas Silver announced an additional private placement, amounting to around C$10 million. This placement plus the one, announced on May 20, should fuel the company with cash of around C$30 million. 

As I stated in my Seeking Alpha article on Americas Silver, it is a lot of cash for the company. 

To show it, below I have plotted a pro-forma version of Americas Silver balance sheet:

As the table shows, after the two private placements the company should hold cash of $26 million. I remind my readers that Americas Silver plans to spend $21.4 million on implementing the San Rafael project. 

It looks like the project is fully funded now...


  1. Simple, will you consider investing in this silver miner? Profile wise it's also targeting to be a 4 mil ozs producer, yet it's valuations is far below GPL, despite it's strong run up from the Dec lows.

  2. It is quite an interesting company but it is too early for me to present any opinion. I have some doubts - need to check them...