Toronto's main market tumbled Monday as telecom shares fell on news of a new spectrum auction, and a drop in commodity prices weighed on miners and energy producers.
In corporate activity, telecommunications companies lost 1.1% as the Canadian government said it will auction additional wireless spectrum next year to smaller carriers in a bid to fuel competition for telephone services.
Rogers Communications Inc. (TSE:RCI.B), Canada's largest wireless carrier, dropped 1.6% to C$42.34. Telus Corp. (TSE:T), the third-largest, lost 2.1% to C$39.08, while BCE Inc. (TSE:BCE), the second-largest, slipped 0.9% to C$48.08. Telus, BCE and Rogers together control 90% of the nation’s wireless customers.
In the energy sector, the main index's second most heavily weighted group, Baytex Energy Corp. (TSE:BTE), a Canadian heavy-crude producer, declined 0.4% to $48.37 after updating spending and production guidance for the second half of this year that includes the acquisition of Aurora Oil & Gas Ltd, which was completed on June 11.
In other stocks, Air Canada (TSE:AC.B), the nation's largest airline, fell 2% to C$9.85 even as the company said system-wide traffic was up 10.6% last month on a capacity increase of 9.8%. It said it had a record load factor of 85.7% for the month.
Rival WestJet Airlines Ltd. (TSE:WJA) edged up 0.7% to C$27.19 after saying its load factor was 77.4% in June. Traffic and capacity rose 5.0% and 4.3%, respectively. BMO raised its rating on WestJet to "outperform" from "market perform".
Alimentation Couche-Tard Inc. (TSE:ATD.B), the largest public convenience-store operator in North America, slumped 2% to C$28.76 after reporting earnings excluding items of 22 cents per share in the fiscal fourth quarter, below the 25 cents per share predicted by analysts on average.
Wi-LAN Inc. (TSE:WIN), a Canadian owner of patents for technology used in mobile phones, fluctuated edged up 0.45% after signing a patent license deal with Nokia Networks.
Duluth Metals (TSE:DM) shed 5.4% to 53 Canadian cents after the company's stock was downgraded by CIBC from a sector perform rating to an underperform rating in a report issued Friday. The company said early this morning that its board has initiated a process to review strategic alternatives, hiring Barclays as its financial advisor.
Moving to junior markets in Canada, Canamex Resources (CVE:CSQ) (OTCQX:CNMXF) rallied over 20% after announcing reverse circulation drilling results from its Bruner gold project in Nevada which the company says confirm the presence of a higher grade zone that has yet to be properly quantified. In a statement released early Monday, the junior explorer told investors that reverse circulation drill hole B-1425, which was drilled into the East Zone of the historic resource area, returned 44.2 metres grading 6.97 grams per tonne (g/t) gold. Within this zone was a high grade interval, from 18.3 to 25.9 metres, which graded 27.91 g/t gold and 327.3 g/t silver, the company said.
Global Minerals (CVE:CTG) said it has discovered a new high-grade extension of the Strieborná vein at its silver/copper property in Slovakia. The company made the discovery while it was tunnelling to collecting a bulk sample for metallurgical work, 150 metres down.
Sutter Gold Mining's (CVE:SGM)(OTCQX:SGMNF) shares fell sharply on Monday after announcing at the end of last week that Tyhee Gold (CVE:TDC) has struck a deal to acquire the shares of Sutter currently held by RMB Australia Holdings and affiliates. Tyhee will also acquire all of the shares of Sutter that are to be issued to RMB upon the conversion of US$8 million of RMB's current debt exposure to Sutter, and approximately US$17 million of RMB's additional debt exposure to Sutter, according to the statement released late Friday afternoon. Once the deal is wrapped up, Tyhee will hold about 73% of Sutter's stock, on a non-fully diluted basis, the companies said.
VentriPoint Diagnostics (CVE:VPT) said Monday that a German cardiac study has verified the accuracy of its VMS heart imaging system for cardiac MRI and 3D ultrasounds. The results of the clinical study were published by a group led by Dr. Kai Laser at the Center for Congentinal Heart Defects, Bad Oeynhausen, Germany.
Madalena Energy (CVE:MVN) (OTC:MDLNF) has closed, in full, the over-allotment option on its bought deal private placement financing completed last month to fund the acquisition of Argentinean assets from Gran Tierra Energy (TSE:GTE). The option pushed up total proceeds of the offering from $50 million to $57.5 million, the company said. Reported by Proactive Investors 8 hours ago.
In corporate activity, telecommunications companies lost 1.1% as the Canadian government said it will auction additional wireless spectrum next year to smaller carriers in a bid to fuel competition for telephone services.
Rogers Communications Inc. (TSE:RCI.B), Canada's largest wireless carrier, dropped 1.6% to C$42.34. Telus Corp. (TSE:T), the third-largest, lost 2.1% to C$39.08, while BCE Inc. (TSE:BCE), the second-largest, slipped 0.9% to C$48.08. Telus, BCE and Rogers together control 90% of the nation’s wireless customers.
In the energy sector, the main index's second most heavily weighted group, Baytex Energy Corp. (TSE:BTE), a Canadian heavy-crude producer, declined 0.4% to $48.37 after updating spending and production guidance for the second half of this year that includes the acquisition of Aurora Oil & Gas Ltd, which was completed on June 11.
In other stocks, Air Canada (TSE:AC.B), the nation's largest airline, fell 2% to C$9.85 even as the company said system-wide traffic was up 10.6% last month on a capacity increase of 9.8%. It said it had a record load factor of 85.7% for the month.
Rival WestJet Airlines Ltd. (TSE:WJA) edged up 0.7% to C$27.19 after saying its load factor was 77.4% in June. Traffic and capacity rose 5.0% and 4.3%, respectively. BMO raised its rating on WestJet to "outperform" from "market perform".
Alimentation Couche-Tard Inc. (TSE:ATD.B), the largest public convenience-store operator in North America, slumped 2% to C$28.76 after reporting earnings excluding items of 22 cents per share in the fiscal fourth quarter, below the 25 cents per share predicted by analysts on average.
Wi-LAN Inc. (TSE:WIN), a Canadian owner of patents for technology used in mobile phones, fluctuated edged up 0.45% after signing a patent license deal with Nokia Networks.
Duluth Metals (TSE:DM) shed 5.4% to 53 Canadian cents after the company's stock was downgraded by CIBC from a sector perform rating to an underperform rating in a report issued Friday. The company said early this morning that its board has initiated a process to review strategic alternatives, hiring Barclays as its financial advisor.
Moving to junior markets in Canada, Canamex Resources (CVE:CSQ) (OTCQX:CNMXF) rallied over 20% after announcing reverse circulation drilling results from its Bruner gold project in Nevada which the company says confirm the presence of a higher grade zone that has yet to be properly quantified. In a statement released early Monday, the junior explorer told investors that reverse circulation drill hole B-1425, which was drilled into the East Zone of the historic resource area, returned 44.2 metres grading 6.97 grams per tonne (g/t) gold. Within this zone was a high grade interval, from 18.3 to 25.9 metres, which graded 27.91 g/t gold and 327.3 g/t silver, the company said.
Global Minerals (CVE:CTG) said it has discovered a new high-grade extension of the Strieborná vein at its silver/copper property in Slovakia. The company made the discovery while it was tunnelling to collecting a bulk sample for metallurgical work, 150 metres down.
Sutter Gold Mining's (CVE:SGM)(OTCQX:SGMNF) shares fell sharply on Monday after announcing at the end of last week that Tyhee Gold (CVE:TDC) has struck a deal to acquire the shares of Sutter currently held by RMB Australia Holdings and affiliates. Tyhee will also acquire all of the shares of Sutter that are to be issued to RMB upon the conversion of US$8 million of RMB's current debt exposure to Sutter, and approximately US$17 million of RMB's additional debt exposure to Sutter, according to the statement released late Friday afternoon. Once the deal is wrapped up, Tyhee will hold about 73% of Sutter's stock, on a non-fully diluted basis, the companies said.
VentriPoint Diagnostics (CVE:VPT) said Monday that a German cardiac study has verified the accuracy of its VMS heart imaging system for cardiac MRI and 3D ultrasounds. The results of the clinical study were published by a group led by Dr. Kai Laser at the Center for Congentinal Heart Defects, Bad Oeynhausen, Germany.
Madalena Energy (CVE:MVN) (OTC:MDLNF) has closed, in full, the over-allotment option on its bought deal private placement financing completed last month to fund the acquisition of Argentinean assets from Gran Tierra Energy (TSE:GTE). The option pushed up total proceeds of the offering from $50 million to $57.5 million, the company said. Reported by Proactive Investors 8 hours ago.