Trading Symbols:
TSX: SEA
NYSE: SA
TORONTO, April 22, 2016 /CNW/ - Seabridge Gold Inc.
(TSX:SEA)(NYSE:SA) (the "Company" or "Seabridge") announced today
that in connection with its previously announced cross-border
public offering (the "Public Offering") of common shares of the
Company (the "Common Shares") on April 21,
2016, it has entered into an underwriting agreement with a
syndicate of underwriters led by Canaccord Genuity Corp. and
including National Bank Financial Inc. and Paradigm Capital Inc.,
(together, the "Underwriters") to sell 450,000 Common Shares at a
price of C$17.40 per Common Share for
aggregate gross proceeds of C$7,830,000.
The Company will grant the Underwriters an over-allotment option
to purchase up to an additional 50,000 Common Shares at a price of
C$17.40 per common share,
exercisable, in whole or in part, at any time up to 14 days after
and including the closing date of the Public Offering for
additional gross proceeds of up to C$870,000.
The Company intends to use the net proceeds from the Public
Offering to continue to advance the Company's KSM Project and for
general corporate purposes.
A preliminary prospectus supplement dated April 21, 2016 to the Company's short-form base
shelf prospectus dated November 26,
2014 in respect of the Public Offering has been filed with
the securities regulatory authorities in the Provinces of
British Columbia, Alberta and Ontario and with the United States Securities
and Exchange Commission ("SEC") under the Company's registration
statement on Form F-10 under the multi-jurisdictional disclosure
system. A final prospectus supplement in respect of
the Public Offering will be filed with the same regulatory
authorities in Canada and
the United States.
The Public Offering is expected to close on or about
April 29, 2016, and is subject to
customary closing conditions including, but not limited to, the
listing of the Common Shares on the Toronto Stock Exchange ("TSX")
and the New York Stock Exchange ("NYSE") and the receipt of all
necessary approvals, including the approval of the TSX and the
NYSE.
Copies of the final prospectus supplements relating to the
Common Shares may be obtained by visiting the SEC's website at
www.sec.gov, on SEDAR at www.sedar.com and from Canaccord Genuity
Corp. under the following address:
Canaccord Genuity Corp.
Brookfield Place, 161 Bay Street
Suite 3100, P.O. Box 516
Toronto, ON M5J 2S1
Attention: Amy Patel
Phone: (416) 869-3052
Email: ecm@canaccordgenuity.com
This press release does not and shall not constitute an offer to
sell or the solicitation of an offer to buy any Common Shares, nor
shall there be any sale of Common Shares in any province, state or
jurisdiction in which such offer, solicitation or sale would be
unlawful prior to registration or qualification under the
securities laws of such province, state or jurisdiction.
Seabridge holds a 100% interest in several North American gold
resource projects. The Company's principal assets are the KSM
Project located near Stewart, British
Columbia, Canada and the Courageous Lake Project located in
Canada's Northwest Territories.
Neither the Toronto Stock Exchange, New York Stock Exchange,
nor their Regulation Services Providers accepts responsibility for
the adequacy or accuracy of this release.
Statements relating to the estimated or expected future
production and operating results and costs and financial condition
of Seabridge, planned exploration work at the Company's projects
and the expected results of such work are forward-looking
statements within the meaning of the United States Private
Securities Litigation Reform Act of 1995. Forward-looking
statements are statements that are not historical facts and are
generally, but not always, identified by words such as the
following: expects, plans, anticipates, believes, intends,
estimates, projects, assumes, potential and similar expressions.
Forward-looking statements also include reference to events or
conditions that will, would, may, could or should occur, including
in relation to the timing of closing and use of proceeds from the
Public Offering. These forward-looking statements are necessarily
based upon a number of estimates and assumptions that, while
considered reasonable at the time they are made, are inherently
subject to a variety of risks and uncertainties which could cause
actual events or results to differ materially from those reflected
in the forward-looking statements, including, without limitation:
the Company's ability to engage underwriters, dealers or agents on
terms and conditions deemed reasonable to the Company, the need to
satisfy regulatory and legal requirements with respect to the
Public Offering, uncertainties related to raising sufficient
financing to fund the planned work in a timely manner and on
acceptable terms; changes in planned work resulting from
logistical, technical or other factors; the possibility that
results of work will not fulfill projections/expectations and
realize the perceived potential of the Company's projects;
uncertainties involved in the interpretation of drilling results
and other tests and the estimation of gold reserves and resources;
risk of accidents, equipment breakdowns and labour disputes or
other unanticipated difficulties or interruptions; the possibility
of environmental issues at the Company's projects; the possibility
of cost overruns or unanticipated expenses in work programs; the
need to obtain permits and comply with environmental laws and
regulations and other government requirements; fluctuations in the
price of gold and other risks and uncertainties, including those
described in the Company's December 31,
2015 Annual Information Form filed with SEDAR in
Canada (available at
www.sedar.com) and the Company's Annual Report Form 40-F filed with
the SEC on EDGAR (available at www.sec.gov/edgar.shtml).
ON BEHALF OF THE BOARD
"Rudi Fronk"
Chairman and CEO
SOURCE Seabridge Gold Inc.