New Pacific Holdings completes US $34.82M financing

News Release

New Pacific Announces Closing Of Private Placement


VANCOUVER, BRITISH COLUMBIA – July 17, 2017: New Pacific Holdings Corp. (“New Pacific” or the “Company”) (TSXV: “NUX”) is pleased to announce that it has closed its previously announced private placement (the “Private Placement”) of subscription receipts. Due to increased demand the Company has increased the size of the Private Placement and has issued a total of 43,521,250 subscription receipts (the “Subscription Receipts”) at US$0.80 per Subscription Receipt for gross proceeds of US$34,817,000. The Company had previously announced that the private placement would be for gross proceeds of US$32,000,000. The gross proceeds from the issuance of the Subscription Receipts has been deposited into escrow with Computershare Trust Company of Canada and will be used to pay the purchase price of the previously announced acquisition of Empresa Minera Alcira SA (“Alcira”), a private Bolivian incorporated mining exploration company (please see press release dated April 10, 2017 for further details on the acquisition).

Each Subscription Receipt is exercisable into a common share of the Company on a one for one basis for no additional consideration upon the Company providing confirmation to Computershare that all of the conditions to the closing of the acquisition of Alcira have been met, except for the payment of the purchase price. The Company has completed the necessary confirmation drilling and has advised the shareholders of Alcira that the results are satisfactory. As a result, the Company anticipates closing the acquisition of Alcira on or before July 26, 2017.

The Subscription Receipts and the common shares issuable upon the exercise of the Subscription Receipts will have a hold period expiring four months and a day from today’s date.

Certain insiders of the Company, including a wholly owned subsidiary of Silvercorp Metals Inc., participated in the private placement. Silvercorp Metals Inc., through its subsidiary, purchased a total of 25,000,000 Subscription Receipts, while other insiders purchased an additional 5.46 million Subscription Receipts for total gross proceeds of US$24,368,000.

The Company will pay finder’s fees in connection with the private placement concurrently with the exercise of the Subscription Receipts into common shares.

The Company also announces that it will be conducting a subsequent private placement of 1,250,000 common shares at US$0.80 per common share for gross proceeds of US$1,000,000. It is anticipated that the additional private placement will close soon after the closing of the acquisition of Alcira.

About New Pacific

New Pacific Holdings Corp. is a Canadian investment company with investment focus on mineral resource industry. Silvercorp Metals Inc. (TSX/NYSE MKT: SVM), the largest primary silver producer in China, is the major shareholder.

For further information, contact:

New Pacific Holdings Corp.
Investor Relations
Phone: (604) 633-1368
Fax: (604) 669-9387