Our roundup of Canadian small-caps of between $100-million and $2.5-billion in market capitalization making news and on the move today.
Newcrest Mining Ltd. announced it has increased its stake in Lundin Gold Inc. (LUG-T) by 4.9 per cent to 32 per cent.
It purchased the shares from Kinross Gold Corp. (K-T) for $7.25 per share or $79.6-million at a 4.2-per-cent discount to last trade price.
“This was a great opportunity to increase our exposure to Fruta del Norte, a Tier 1 asset, which is expected to commence commercial production in the June 2020 quarter,” said Newcrest CEO Sandeep Biswas said in a statement.
Newcrest last year paid $250 million for a 27.1% stake in Lundin, which owns a high-potential gold mine project in Ecuador.
-with a file from Reuters
The clothing brand says it had a net income of $1.97-million, or five cents per share in the quarter ending Nov. 2, down from $2.8-million or seven cents per share for the same quarter last year.
Analysts had expected earnings of $4.3-million, or eight cents per share, according to financial markets data firm Refinitiv.
Company CEO Jim Gabel says downward pressure on earnings has come from inefficiencies, U.S. stores performing "well-below" expectations, and macroeconomic headwinds at its Asia business.
Roots says that given its operational headwinds, and the "compressed holiday selling season" due to a later U.S. Thanksgiving, it now expects sales and net income for the fourth quarter will also be below its previous guidance.
-The Canadian Press
CannTrust Holdings Inc. (TRST-T; CTST-N) said in its latest required status update that it was either served or became aware of “putative class action lawsuits” against the company and certain of its current and former directors, officers, and employees relating to the drop in its share price after July 8.
The company said it expects the number of putative class actions against it to be consolidated in the coming months. "Recently, the company became aware of a lawsuit by Zola Finance Holdings Ltd. and Igor Gimelshtein that also relates to the drop in its share price after July 8, 2019," it stated. It said the total amounts claimed in the lawsuits "overlap and have not been quantified at the present time" and that it hasn't currently recorded any uninsured amount related to this contingency.
Taseko Mines Ltd. (TKO-T) announced that it has entered into a dialogue, facilitated by the B.C. government, with the Tŝilhqot’in Nation to try to obtain a long term solution to the conflict regarding the company’s proposed New Prosperity mine. The company said the dialogue acknowledges its commercial interests and the Tŝilhqot’in Nation’s opposition to the project. “While the details of this process are confidential, in order to facilitate a dialogue the parties have agreed to a standstill on certain outstanding litigation and regulatory matters which relate to Taseko’s tenures and the area in the vicinity of Teztan Biny (Fish Lake),” the company stated.
Medicure Inc. (MPH-X) announced that its subsidiary, Medicure International Inc., has filed a patent infringement action against Nexus Pharmaceuticals, Inc. in the U.S. District Court for the Northern District of Illinois. The company said the action is in response to Nexus’ filing of an abbreviated new drug application seeking approval from the U.S. Food and Drug Administration to market a generic version of its Aggrastat injection. “Medicure will vigorously defend the ’660 patent and will pursue the patent infringement action against Nexus and all other legal options available to protect its product,” the company stated.
In a separate release, the company said it has reached a settlement agreement with the purchaser of its interests in Apicore related to amounts held back under the Apicore sale agreement. “A settlement agreement was reached under which Medicure will receive a net payment of US$5.1-million in relation to the holdback,” the company stated.