Seabridge Gold Shares Popped: What You Need to Know (SA)

Seabridge Gold Shares Popped: What You Need to Know

Watch stocks you care about

The single, easiest way to keep track of all the stocks that matter...

Your own personalized stock watchlist!

It's a 100% FREE Motley Fool service...

Click Here Now

Although we don't believe in timing the market or panicking over market movements, we do like to keep an eye on big changes -- just in case they're material to our investing thesis.

What: Shares of Seabridge Gold (AMEX: SA ) jumped as much as 12% today after the company announced a private placement of shares.

So what: Royal Gold will make a private placement investment in Seabridge for 1.019 million shares at $30.39 per share, a premium to yesterday's price. It will also be given a C$100 million option to acquire a 1.25% royalty on all gold and silver from the KSM project.

Now what: The share sale funds will be used to optimize the KSM project while the company looks for a buyer or partner in the project. Investors were giddy about the news early in the day, but shares tailed off later in the day and are up just 6% as of this writing. Long term, I have to agree with Motley Fool Alpha , which thinks this stock has further to run once milestones of the KSM project are cleared.

Interested in more info on Seabridge Gold? Add it to your watchlist.

The Steve Jobs Betrayal
You may already know that in the final year of his life, Jobs revealed a stunning betrayal — and told his biographer, "I will spend my last dying breath... and every penny of Apple's $40 billion in the bank to right this wrong." What was it that made Jobs so irate — and why could it make a few in-the-know investors some major profits over the coming months and years?

Enter your email address below to find out what made Jobs so enraged!

Fool contributor Travis Hoium does not have a position in any company mentioned. You can follow Travis on Twitter at @FlushDrawFool, check out his personal stock holdings or follow his CAPS picks at TMFFlushDraw.

Motley Fool newsletter services have recommended buying puts in Seabridge Gold. Try any of our Foolish newsletter services free for 30 days. We Fools may not all hold the same opinions, but we all believe that considering a diverse range of insights makes us better investors. The Motley Fool has a disclosure policy.

Comments from our Foolish Readers

Help us keep this a respectfully Foolish area! This is a place for our readers to discuss, debate, and learn more about the Foolish investing topic you read about above. Help us keep it clean and safe. If you believe a comment is abusive or otherwise violates our Fool's Rules, please report it via the Report this Comment icon found on every comment.