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VANCOUVER - Skeena Resources Limited (TSX:SKE; NYSE:SKE), whose stock has surged over 110% year-to-date according to InvestingPro data, announced Wednesday it has entered into a bought deal agreement to raise approximately C$125 million through the sale of 5.21 million common shares at C$24.00 each.
The offering, led by BMO Capital Markets, includes an over-allotment option allowing underwriters to purchase up to an additional 15% of shares within 30 days of closing. The transaction is expected to close around October 8, 2025, subject to regulatory approvals.
Proceeds will fund continued advancement of the company’s Eskay Creek gold-silver project in British Columbia’s Golden Triangle region and general corporate purposes. The company disclosed that while construction activities have continued throughout 2025, the permitting process faces unexpected delays due to an ongoing BC government employee strike.
Skeena also reported that negotiations with the Tahltan Central Government regarding an Impact Benefits Agreement are progressing, though the timeline for ratification remains pending completion of negotiations.
"This funding provides flexibility to pursue less expensive financing alternatives compared to the existing undrawn senior secured loan facility," said Walter Coles, Executive Chairman of Skeena, in the press release statement. The offering represents approximately 4.5% dilution to the company’s total market capitalization.
The company reported unaudited cash of approximately C$105 million as of September 30. With a current ratio of 1.75 and moderate debt levels according to InvestingPro metrics, the new capital, combined with other funding sources, is expected to provide sufficient liquidity to complete the permitting process, which is required to access the remainder of a previously announced US$750 million financing package with Orion Resource Partners. InvestingPro analysis reveals 12 additional key insights about Skeena’s financial position and growth prospects.
The common shares will be offered through a prospectus supplement to the company’s base shelf prospectus in Canadian provinces excluding Quebec, and via a U.S. prospectus supplement to its registration statement on Form F-10 in the United States. For investors considering this offering, InvestingPro data shows the company currently maintains a market capitalization of $2.11 billion, with analysts anticipating continued development progress despite near-term profitability challenges.
In other recent news, Skeena Resources Limited has decreased its ownership percentage in TDG Gold Corp. This change follows a series of transactions that were detailed in an early warning report filed Monday. Skeena acquired 6,666,667 shares of TDG Gold for a total of C$4 million. The shares were purchased at a price of C$0.60 each from multiple sellers who had initially acquired them through a flow-through share offering. These transactions are part of Skeena’s recent strategic moves. The company has not provided further details on the implications of this reduced stake. Investors may find this development noteworthy as it reflects Skeena’s current investment strategy.
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