Our roundup of Canadian small-caps of between $100-million and $2.5-billion in market capitalization making news and on the move today.
ATS Automation Tooling Systems Inc. (ATA-T) announced a reorganization plan “to help mitigate the expected impact of a downturn in its transportation markets brought on by the COVID-19 pandemic.” The company said the reorganization plan is expected to be completed by the end of the fiscal year and includes the closure of facilities along with workforce reductions mostly in Europe and Asia.
“Management expects to incur total restructuring costs of approximately $24-million,” the company stated, adding that costs will be incurred during the second and third quarters of the current fiscal year.
“This action is necessary to align the capacity and cost structure of our business to current and expected conditions in the transportation market,” said CEO Andrew Hider in a release. “By implementing the plan now, we will help to mitigate against future margin erosion and emerge to serve transportation customer opportunities that are aligned with our technologies, capabilities and objectives for value creation.”
Trillium Therapeutics Inc. (TRIL-T; TRIL-Q), which is developing therapies for the treatment of cancer, announced that it has agreed to sell 2,297,794 of its common shares at a price of $10.88 per share to Pfizer Inc. (PFE-N), for gross proceeds of $25-million. The company said the common shares were offered and sold to Pfizer Inc. in a registered direct offering conducted without an underwriter or placement agent.
Trillium said it intends to use the net proceeds of the offering “to help fund its ongoing and planned clinical trials for its CD47 program, and for working capital and general corporate purposes.”
Freehold Royalties Ltd. (FRU-T) announced late Tuesday that its president and CEO Thomas Mullane has resigned effective immediately. David Spyker, chief operating officer, has been appointed to the role of interim president and CEO during the formal process of identifying a permanent replacement.
Mr. Mullane joined Freehold in July 2012 and was appointed president and CEO in May 2013, the company stated.
Major Drilling Group International Inc. (MDI-T) reported revenue of $89.4-million for its first quarter ended July 31 compared to $117.5-million a year ago. Analysts were expecting revenue of $96.1-million.
Net earnings of $2.1-million or 3 cents per share compared to earnings of $6-million or 8 cents a year ago.
Ag Growth International Inc. (AFN-T) announced the appointment of Jim Rudyk as its chief financial officer. Prior to joining AGI, he served as CFO for a number of public and private firms in a variety of industries including most recently with Sofina Foods, the company stated.
InOpticals' solutions will be combined with EXFO’s advanced optical test offering, “bolstered by the Yenista Optics acquisition in October 2017,” the company stated. It said the acquisition will increase its global test and measurement (T&M) addressable market by approximately US$150-million to more than US$1-billion. The amount of the transaction, mostly valued in EXFO shares, was not disclosed.
Hudbay Minerals Inc. (HBM-N; HBM-T) announced that it is offering US$500-million aggregate principal amount of senior notes. It said the interest rate and other terms of the new notes will be determined at pricing and are dependent upon market conditions and other factors.
Hudbay said it plans to use the net proceeds from the offering of the new notes to refinance all of its outstanding US$400-million aggregate principal amount of 7.25 per cent senior notes due 2023, as well as to pay any related premium, costs and expenses and for general corporate purposes.
“Kurt brings to Cronos Group more than three decades of experience leading and growing renowned global consumer packaged goods companies and their brands, including at Blue Buffalo Company Ltd., Nestlé S.A., Gerber and Kraft Foods,” it stated.
The company also announced that Mike Gorenstein has been appointed executive chairman after serving as chairman, president and CEO of Cronos Group since 2016.