Capital Gold Increases Earnings By 50% For 2Q FY '09

Capital Gold Corp. announced that its net income for the second quarter of fiscal year 2009 increased 50% from the same quarter in FY '08: $2.126 million to $3.196 million. On a per-share basis, due to rounding, net income went from 1 cent to 2 cents. The news release has further details.

The news was webbed just before trading opened. The stock took to it well, opening at thirteen cents above its Thursday close. The opening rally faded as the day went on, though, leaving Capital to close at 87 cents for a gain of 6 cents. Current bid - ask is 85 cents - 87 cents.

The company's Google Finance web page is here.

----------

NOTE: This blog is confined to aggregating news relating to Canadian gold stocks, as well as to commenting on past and present price movements, and is intended as an informational resource. It is not intended to make recommendations, nor is it a tool for forecasting future price movements. Its author is not a qualified investment advisor, and as such cannot make any investment recommendations. Should you be interested in any stock that appears here, please consider carefully if it is suitable for you and your portfolio. Please also consider seeking advice from a professional investment advisor if you have not already done so.

Gammon Gold Proposes Takeover Of Capital Gold

Gammon Gold, Inc. is about to take over Capital Gold, Inc. in a all-share deal. Both companies signed a Letter of Intent, and the terms of the deal are: 0.1028 shares of Gammon for each share of Capital. As of yesterday's close, this ratio would make each share of Capital worth more than 98 cents. This takeover is a friendly one, as the news release announcing it shows, and is subject to due-diligence requirements. A US$4 million breakup fee kicks in if the deal falls through, to be paid by the breaker to the breakee if the deal falls through on certain conditions.

This item was disseminated after trading ended. Gammon closed at $9.59, for a gain of 43 cents, and Capital closed at 81 cents, up 2 cents.

Gammon's Google Finance web page is here; Capital's is here.



----------

NOTE: This blog is confined to aggregating news relating to Canadian gold stocks, as well as to commenting on past and present price movements, and is intended as an informational resource. It is not intended to make recommendations, nor is it a tool for forecasting future price movements. Its author is not a qualified investment advisor, and as such cannot make any investment recommendations. Should you be interested in any stock that appears here, please consider carefully if it is suitable for you and your portfolio. Please also consider seeking advice from a professional investment advisor if you have not already done so.