The Big Three: Keystone restarts; Saudi Aramco files prospectus; Goldman, Apple under fire for gender bias
The energy sector is a getting a bit of relief after TC Energy confirmed Keystone is gradually returning to service almost two weeks after a spill in North Dakota invited renewed scrutiny of pipeline safety. The company formerly known as TransCanada says it will continue working closely with regulators to investigate the cause of that disruption.
OPEN TEXT BILLION-DOLLAR TAKEOVER
US$1.42 billion, to be precise, as deal-hungry OpenText agrees to purchase Boston-based Carbonite Inc. for US$23 per share in cash (and inherits the data-protection company’s debt). “These [growth-by-acquisition] companies, they need to stay in the headlines,” said Purpose Investments Chief Investment Officer Greg Taylor about OpenText in immediate reaction to the deal this morning on The Street. “The worst thing you could have is a growth company that stops growing.”
WANTED BY INVESTORS: RENTAL PROPERTIES
Bay Street lost out on a highly-anticipated IPO Friday when Continuum Residential Real Estate Trust yanked its listing in favour of a $1.7-billion takeover by Starlight Investments. So where does this leave investors who craved a piece of Continuum’s GTA-heavy portfolio of 6,271 rental units? BNN Bloomberg's Paige Ellis is digging into some of the other options.
Saudi Aramco published its prospectus this weekend: 658 pages of light reading, including 17 dedicated to spelling out risk factors that investors should consider before investing in the world’s largest oil producer (including: “terrorism and armed conflict may materially and adversely affect the company and the market price of the shares.”) But we’re still almost a month away from finding out if underwriters will come close to achieving a US$2-trillion valuation: final pricing is scheduled for Dec. 5.
OTHER NOTABLE STORIES
-Premium Brands Holdings could be a stock to watch after reporting third-quarter revenue rose 15.9 per cent to $968 million while profit came way short of estimates. In a release, CEO George Paleologou detailed “very unusual circumstances” in the period due to the African Swine Fever outbreak.
-France-based Latécoère says it’s in negotiations to purchase Bombardier’s aviation wiring business after submitting an indicative offer. Terms of what’s on the table weren’t disclosed
-Brookfield Renewable Partners today announced it’s planning to create a publicly-traded Canadian corporation “in order to provide investors with greater flexibility” in how they invest in the company’s portfolio of assets
-Semafo provided more details today on last week’s attack against a convoy of its workers in Burkina Faso. The Montreal-based miner says the death toll has reached 39, and that one person out of the 241 involved remains unaccounted for.
-Goldman Sachs and Apple are catching heat (including from Apple co-founder Steve Wozniak) over allegations of gender bias against female applicants for their credit card. A Goldman spokesperson is denying that gender factors into credit line decisions.
-Alibaba is a trumpeting a record haul from its Singles’ Day sales event, signaling Chinese consumers’ resilience - at least when presented with a slew of discounts.
-Notable earnings: Franco-Nevada, Hudbay Minerals
-Canada Ambassador to China Dominic Barton addresses Canada-China Business Council business dinner in Shanghai
Every morning BNN Bloomberg's Managing Editor Noah Zivitz writes a ‘chase note’ to BNN Bloomberg's editorial staff listing the stories and events that will be in the spotlight that day. Have it delivered to your inbox before the trading day begins by heading to www.bnnbloomberg.ca/subscribe.