Michael McCain, President and CEO of Maple Leaf Foods, is photographed in his Toronto office on August 12, 2010.Sarah Dea/The Globe and Mail
A look at some must-read news on deals and deal makers around the world.
Maple Leaf Foods unveils plan to boost stock
Facing an activist shareholder who has bought a significant stake, food processor Maple Leaf Foods Inc. has unveiled a plan to boost its margins (and presumably, its shares). Maple Leaf proposes to boost its EBITDA margin by more than 75 per cent over the next four to five years. In some ways, the new plan looks a lot like the old plan at Maple Leaf.
Some of the value-creation ideas are already in the pipeline, plus there will be initiatives such as a new prepared meats facility, with construction planned to commence in 2012, the company said.
It's not yet clear whether the plan will be enough to satisfy investor Greg Boland of West Face Capital, who took a stake in Maple Leaf recently and who has signalled he wants significant change at the company.
Canada does the hollowing
Tax expert Jack Mintz, a professor at the University of Calgary, has dived into the debate about whether Canada is being "hollowed out" by foreign takeovers of Canadian companies and come up with data that shows the answer is no. His is one of a string of studies that show in aggregate, Canadian companies tend to do more buying outside of Canada than foreign companies do inside of Canada. However, instead of cheering that as a victory, Mr. Mintz suggests the data show that Canada has room for improvement and that it Canada should be more open to foreign investment.
Help Wanted: Women in Capital Markets
Women are leaving capital markets, at a time when they are joining the work force. Why aren't they taking advantage of the hiring and opportunities?
Those who do try Wall Street are finding they get paid less than men.
BHP's iron ore deal may be dead
An iron-ore production joint venture between BHP Billiton and Rio Tinto may be dead in the face of regulatory opposition. Rio Tinto said in a statement that regulators are signalling there are obstacles to getting clearance. With that in mind, there are reports that Rio wants to drop out.