Pan American Silver to Raise Up to $103.5 Million

Pan American Silver Corp. has plans to offer a public offering which will initially raise about $90 million. There will also be an option for underwriters to acquire a second round of stock which would be valued at about $13.5 million, making the total raised for the silver company $103.5 million.

With the U.S. dollar ready to collapse, and places of safety for investors diminishing, precious metals companies, especially those primarily producing gold and silver are taking a number of steps to bolster their balance sheets in order to look good to investors.

Silver could be the biggest performer for investors this year, even out shining gold as far as percentages go. There are very few places to put your money safely, and silver and gold will be two of the best in 2009, and Pan American Silver knows it, and is making this move for the stated purpose of expanding and making additional acquisitions to strengthen its market position.

So far in 2009, silver is the second-best commodity as far as performance goes of the 19 listed on the Reuters/Jefferies CRB Index, which has helped Pan America Silver increase its revenue, giving it even more to work with going ahead.

In 2008, Pan American Silver produced around 18.7 million ounces of silver across its eight mines, all located in South America - in the countries of Peru, Argentina, Bolivia and Mexico. Pan American Silver Corp. has gained a healthy 40 percent over the last three months in its share price, and has a lot of room to grow even more.

Concerning the public offering, Pan American Silver has filed with the SEC in relationship to the public offering, and also has filed a preliminary prospectus supplement to its existing base shelf prospectus with the securities regulatory authorities in every one of the territories and provinces of Canada.

Managing the issuance of shares are CIBC World Markets Inc. and Goldman Sachs Canada Inc., whom will act as co-leads as well as joint book runners for the offering.

After their successful last several months, the market value of the company has risen to USD $1.47 billion.