Seabridge closes US$115.7 million financing for Snowfield acquisition
|Snowfield project. Image credit: Pretivm.|
(Kitco News) - Seabridge Gold (TSX:SEA) (NYSE:SA) announced Wednesday that it has successfully closed its previously announced bought deal financing for gross proceeds of US$115.7 million inclusive of the exercise of the entire over-allotment option held by the underwriters.
Proceeds from the offering will be used by the company to fund the purchase from Pretivm Resources of the Snowfield property which was announced on December 4, 2020.
Proceeds from the financing will pay the entire US$100 million up front cash payment payable in respect of the acquisition of the Snowfield property, the expenses related to the acquisition, with the remainder used for general working capital.
Closing of the Snowfield acquisition is expected on or before December 16, 2020.
The Snowfield project hosts a large gold deposit immediately adjacent to Seabridge’s 100%-owned KSM gold-copper project in northeast British Columbia, Canada.
Seabridge holds a 100% interest in several North American gold projects. The company's principal assets are the KSM and Iskut projects located near Stewart, British Columbia, Canada and the Courageous Lake gold project located in Canada's Northwest Territories.