Toronto's main market suffered on Tuesday as investors were nervous about global central banks being reluctant to bolster stimulus measures. Oil and gold prices also tanked, weighing on materials and energy.
On the corporate front, gold miners were sinking, led by Kinross Gold Corp. (TSE:K), Canada’s third-largest producer of the metal by revenue, which sank 5.6% to C$6.08. The Toronto, Ontario-based company said it will pull out of Ecuador after failing to reach a final agreement with the government over terms for the development of the Fruta del Norte deposit.
Teck Resources Limited (TSE:TCK.A) (TSE:TCK.B) (NYSE:TCK) has acquired an additional 20 million ordinary shares of Horizonte Minerals plc (TSE: HZM) (AIM: HZM), the Vancouver-based company announced Tuesday. The shares were picked up at a cost of 7.5 pence per ordinary share, or approximately C$2.4 million, as part of Horizonte’s broader private placement of 41.09 million new ordinary shares.
Following the new purchase of ordinary shares, Teck holds approximately 170.57 million ordinary shares of Horizonte -- or 42.5 per cent of the company’s outstanding ordinary shares.
In energy shares, Encana Corp. (TSE:ECA), Canada’s largest natural gas producer, fell 1.2% to C$18.68. The Calgary, Alberta-based company said it has named Doug Suttles, former chief operating officer of BP Plc's (NYSE:BP) exploration and production unit, as its new president and chief executive.
North American Energy Partners Inc. (TSE:NOA), a Canadian foundations company, jumped to a new 52-week high of C$5.40 after saying it has agreed to sell its Piling business to Keller Group plc (LON:KLR) for net proceeds of about $210 million. The Calgary, Alberta-based firm also reported a fourth-quarter loss.
Elsewhere, Telus Corp. (TSE:T), Canada’s third-largest wireless operator, lost 0.3% to C$34.60 after withdrawing its offer to buy mobile-phone upstart Mobilicity.
Lululemon Athletica Inc. (TSE:LLL), the yoga-wear retailer, sank 16.8% to C$69.92, after saying its Chief Executive Christine Day is leaving once a replacement is found. The Vancouver, British Colombia-based company said on Monday that net income for the quarter ended May 5 increased 1.4 percent to $47.3 million, or 32 cents a share, from a year earlier. Analysts on average estimated 30 cents a share. The company also said it would voluntarily delist from the Toronto Stock Exchange.
Catamaran Corp. (TSE:CCT), a pharmacy benefit manager based in Lisle, Illinois, surged 10.4% to C$54.77, after major U.S. health insurer Cigna Corp. (NYSE:CI) said the pair had signed a 10-year agreement.
Moving to junior markets in Canada, Selwyn Resources (CVE:SWN) has unveiled an updated and improved preliminary economics report for its ScoZinc mine in Nova Scotia, which it is focused on restarting after earlier this month completing the sale of its second project in the Yukon.
"The recently completed work by our ScoZinc team has further enhanced the mine plan and demonstrates the attractive economics for the restart of the mine, when metal prices strengthen from current levels as concentrate supply is forecast to tighten," said president and CEO, Dr. Harlan Meade, in the release. On an after-tax basis, the new PEA shows a net present value of $51.9 million at a 5 per cent discount rate, compared to the $35.9 million in the previous report late last year. The internal rate of return is now pegged at 46.2 per cent after tax, versus the 35.5 per cent seen previously.
Madalena Ventures (CVE:MVN) says that the exploration period for one of its three blocks in Argentina has been extended for a year, giving the company the flexibility to satisfy the remaining work commitments on the asset. The period for exploration on its Curamhuele block, in which the Canadian junior oil and gas producer has an 90 per cent weighted interest, has been extended through an official decree by the Province of Neuquén until November 8, 2014. The previous deadline was November 7, this year.
Mobile marketing firm Snipp Interactive (CVE:SPN) has signed a memorandum of understanding with CCG Marketing Solutions, with the two companies to sell and promote each other's services, creating additional revenue streams. CCG provides integrated marketing services to consumer health, automotive and pharmaceutical companies, while Snipp works with several major brands to market products through mobile. Reported by Proactive Investors 2 days ago.
On the corporate front, gold miners were sinking, led by Kinross Gold Corp. (TSE:K), Canada’s third-largest producer of the metal by revenue, which sank 5.6% to C$6.08. The Toronto, Ontario-based company said it will pull out of Ecuador after failing to reach a final agreement with the government over terms for the development of the Fruta del Norte deposit.
Teck Resources Limited (TSE:TCK.A) (TSE:TCK.B) (NYSE:TCK) has acquired an additional 20 million ordinary shares of Horizonte Minerals plc (TSE: HZM) (AIM: HZM), the Vancouver-based company announced Tuesday. The shares were picked up at a cost of 7.5 pence per ordinary share, or approximately C$2.4 million, as part of Horizonte’s broader private placement of 41.09 million new ordinary shares.
Following the new purchase of ordinary shares, Teck holds approximately 170.57 million ordinary shares of Horizonte -- or 42.5 per cent of the company’s outstanding ordinary shares.
In energy shares, Encana Corp. (TSE:ECA), Canada’s largest natural gas producer, fell 1.2% to C$18.68. The Calgary, Alberta-based company said it has named Doug Suttles, former chief operating officer of BP Plc's (NYSE:BP) exploration and production unit, as its new president and chief executive.
North American Energy Partners Inc. (TSE:NOA), a Canadian foundations company, jumped to a new 52-week high of C$5.40 after saying it has agreed to sell its Piling business to Keller Group plc (LON:KLR) for net proceeds of about $210 million. The Calgary, Alberta-based firm also reported a fourth-quarter loss.
Elsewhere, Telus Corp. (TSE:T), Canada’s third-largest wireless operator, lost 0.3% to C$34.60 after withdrawing its offer to buy mobile-phone upstart Mobilicity.
Lululemon Athletica Inc. (TSE:LLL), the yoga-wear retailer, sank 16.8% to C$69.92, after saying its Chief Executive Christine Day is leaving once a replacement is found. The Vancouver, British Colombia-based company said on Monday that net income for the quarter ended May 5 increased 1.4 percent to $47.3 million, or 32 cents a share, from a year earlier. Analysts on average estimated 30 cents a share. The company also said it would voluntarily delist from the Toronto Stock Exchange.
Catamaran Corp. (TSE:CCT), a pharmacy benefit manager based in Lisle, Illinois, surged 10.4% to C$54.77, after major U.S. health insurer Cigna Corp. (NYSE:CI) said the pair had signed a 10-year agreement.
Moving to junior markets in Canada, Selwyn Resources (CVE:SWN) has unveiled an updated and improved preliminary economics report for its ScoZinc mine in Nova Scotia, which it is focused on restarting after earlier this month completing the sale of its second project in the Yukon.
"The recently completed work by our ScoZinc team has further enhanced the mine plan and demonstrates the attractive economics for the restart of the mine, when metal prices strengthen from current levels as concentrate supply is forecast to tighten," said president and CEO, Dr. Harlan Meade, in the release. On an after-tax basis, the new PEA shows a net present value of $51.9 million at a 5 per cent discount rate, compared to the $35.9 million in the previous report late last year. The internal rate of return is now pegged at 46.2 per cent after tax, versus the 35.5 per cent seen previously.
Madalena Ventures (CVE:MVN) says that the exploration period for one of its three blocks in Argentina has been extended for a year, giving the company the flexibility to satisfy the remaining work commitments on the asset. The period for exploration on its Curamhuele block, in which the Canadian junior oil and gas producer has an 90 per cent weighted interest, has been extended through an official decree by the Province of Neuquén until November 8, 2014. The previous deadline was November 7, this year.
Mobile marketing firm Snipp Interactive (CVE:SPN) has signed a memorandum of understanding with CCG Marketing Solutions, with the two companies to sell and promote each other's services, creating additional revenue streams. CCG provides integrated marketing services to consumer health, automotive and pharmaceutical companies, while Snipp works with several major brands to market products through mobile. Reported by Proactive Investors 2 days ago.