Mercado Minerals Ltd. closed a non‑brokered private placement that raised C$5,598,000 in gross proceeds. The offering issued 27,990,000 units at C$0.20 each; each unit consists of one common share and a half warrant exercisable at C$0.35 through November 28, 2028. Vizsla Silver Corp. became a shareholder through its purchase of 1,000,000 units, underscoring confidence in Mercado’s exploration strategy.
The proceeds will fund exploration of the recently acquired Copalito and Zamora properties in the Sierra Madre region and provide working‑capital support. Mercado’s financial statements for the year ended February 28, 2025 and February 29, 2024 show net losses of C$518,191 and C$190,664, respectively, highlighting the company’s need for external capital to sustain its early‑stage exploration activities.
Management noted that the financing strengthens the balance sheet and allows the company to accelerate drilling and resource definition at Copalito and Zamora. CEO Daniel Rodriguez said the capital injection “will enable us to move from exploration to development more quickly, while maintaining the flexibility to pursue additional opportunities in the region.”
Vizsla Silver’s investment reflects its strategic interest in the Sierra Madre region, where both companies operate. By aligning with a partner that has a strong track record in silver‑gold projects, Mercado gains access to potential synergies and a shareholder that can support future capital raises or joint exploration initiatives.
The transaction positions Mercado to capitalize on the region’s proven mineral potential while mitigating the cash‑flow constraints that have historically limited its exploration pace. With the new capital, the company can pursue additional drilling, expand its resource base, and potentially attract further investment from other strategic partners.
The private placement also signals to the market that Mercado’s management remains confident in the long‑term value of its assets, and that Vizsla Silver sees a complementary fit in the Sierra Madre portfolio. Together, the two companies are better positioned to advance their exploration programs and move closer to a potential production phase.
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