Elsztain ups investment in Argenta Silver Corp. via $2.5 million placement
Argenta Silver Corp. [AGAG-TSXV] said that further to its May, 2025 announcement of a $5.0 million strategic investment by Argentine businessman Eduardo Elsztain, the company said Elsztain has elected to exercise his equity participation rights under an investor rights agreement, which he entered into concurrently with the initial investment.
The company said the pro-rata rights are being exercised following the announcement by the company of a bought deal private placement financing on July 24 and July 25, 2025. An entity controlled by Elsztain will invest in Argenta on the same pricing and terms of the private placement and purchase 6.25 million units at 40 cents per unit for a total investment of $2.5 million, separate and apart from the private placement.
Each unit consists of one common share and one-half of one transferable common share purchase warrant. Each whole warrant entitles the holder to purchase one common share at a price of 60 cents at any time on or before that date which is 36 months after the closing of the pro-rata investment, likely on August 12, 2025.
The company said it intends to use net proceeds of the pro rata investment for the exploration and advancement of the company’s 100%-owned El Quevar Project in Salta Province, Argentina as well as for working capital and general corporate purposes.
Elsztain is recognized as one of Argentina’s most influential business leaders, having one of the largest real assets business conglomerates in Argentina spanning industries, including real estate, agriculture, finance and mining. Most notably, he serves as Chairman and CEO of IRSA [IRS-NYSE]. Argentina’s largest real estate company and CRESUD [CRESY-NASDAQ], a major agribusiness firm operating across South America. He also chairs Banco Hipotecario [BHIP-BASE], one of Argentina’s foremost mortgage banks. It has played a key role in numerous high-profile investment and development projects.
Argenta shares advanced on the news, rising 2.3% or $0.01 to 44 cents, Friday. The shares trade in a 52-week range of 15 cents and 15.5 cents.
Argenta owns 100% of the El Quevar Project. The project hosts an indicated resource of 45.3 million ounces of silver at a grade of 482 g/t silver and an inferred resource of 4.1 million ounces of 417 g/t silver, making it one of Argentina’s top three undeveloped silver deposits. Extensively explored between 2008 and 2013 by its previous owner, the project saw limited exploration in recent years. Argenta Silver acquired El Quevar in late 2024 and is now focused on unlocking its full value. Elsztain’s investment underscores Argenta’s commitment to advancing El Quevar responsibly and strategically, further strengthening its position in the silver exploration sector.
Resource World Magazine Inc. has prepared this editorial for general information purposes only and should not be considered a solicitation to buy or sell securities in the companies discussed herein. The information provided has been derived from sources believed to be reliable but cannot be guaranteed. This editorial does not take into account the readers investment criteria, investment expertise, financial condition, or financial goals of individual recipients and other concerns such as jurisdictional and/or legal restrictions that may exist for certain persons. Recipients should rely on their own due diligence and seek their own professional advice before investing.