Bloomberg Anywhere Remote Login Bloomberg Terminal Demo Request

Bloomberg

Connecting decision makers to a dynamic network of information, people and ideas, Bloomberg quickly and accurately delivers business and financial information, news and insight around the world.

Company

Financial Products

Enterprise Products

Media

Customer Support

  • Americas

    +1 212 318 2000

  • Europe, Middle East, & Africa

    +44 20 7330 7500

  • Asia Pacific

    +65 6212 1000

Communications

Industry Products

Media Services

Follow Us

Bloomberg Customers

Canadian Stocks Rise as Valeant Jump Offsets Slumps in Oil, Gold

Canadian stocks rose, erasing earlier losses of as much as 0.3 percent to clinch a fifth week of gains, as a surge in Valeant Pharmaceuticals International Inc. offset a slump in oil and gold producers.

Valeant jumped 13 percent to an 11-year high after a person familiar with negotiations said Canada’s largest drugmaker might pay $9 billion to buy Bausch & Lomb. Manitoba Telecom Services Inc. surged 5.7 percent after agreeing to sell its Allstream unit to a firm co-founded by Egyptian billionaire Naguib Sawiris. Encana Corp. fell 0.7 percent as oil capped its biggest weekly decline in more than a month. Banro Corp. and OceanaGold Corp. slid more than 3.9 percent as gold retreated.

The Standard & Poor’s/TSX Composite Index rose 9.13 points, or 0.1 percent, to 12,667.22 at 4 p.m. in Toronto. The benchmark equity gauge’s 0.4 percent gain in the past five days gave it the longest streak of weekly advances since February 2012.

“The S&P/TSX has been pretty quiet while other markets have been swinging a lot,” said Stephen Gauthier, chief investment officer with Fin-XO Securities Inc. in Montreal. The firm manages C$500 million ($484 million). “Commodities are falling. We’re seeing oil is down, as is gold. The U.S. economy has been doing pretty well, so it’s providing a bit of a floor to markets.”

Canadian equities traded as low as 0.3 percent as energy and raw-material shares retreated amid a slump in oil and gold prices. Seven of 10 industries in the S&P/TSX declined, as five stocks fell for every three that rose.

Valeant Deal

Valeant surged 13 percent to C$87, its highest close since January 2002, pacing an 8.7 percent increase among health-care stocks. Warburg Pincus LLC, which bought Bausch & Lomb in a 2007 leveraged buyout, as recently as March was considering an initial public offering, but is now near a deal to sell to Valeant, said a person who asked not to be identified because the negotiations are private.

Manitoba Telecom gained 5.7 percent to C$33.93 after selling its Allstream fiber network business to Accelero Capital Holdings for C$520 million. The company will use the cash to invest in new wireless spectrum and improve the speed of its existing networks, Manitoba Telecom said in a statement.

National Bank of Canada, the country’s sixth-largest lender, advanced 1.9 percent to C$77.02 after reporting record second-quarter adjusted profit and raising its dividend 4.8 percent.

Niko Resources Ltd. jumped 23 percent to C$7.35, for its biggest gain since 1996. Niko, along with partners Reliance Industries Ltd. and BP Plc, announced today they have discovered gas and condensate in a well off the east coast of India. Niko holds a 10 percent stake in the block where the discovery was made.

Banro slipped 3.9 percent to C$1 and OceanaGold sank 4.9 percent to C$1.76 as gold for June delivery retreated for the third time in four days.

Encana fell 0.7 percent to C$20.28 and Suncor Energy Inc. declined 1.1 percent to C$31.95 as the price of crude for July delivery retreated 10 cents to $94.15 a barrel. Oil slid 1.9 percent this week, the most since the seven days ended April 19.

Please upgrade your Browser

Your browser is out-of-date. Please download one of these excellent browsers:

Chrome, Firefox, Safari, Opera or Internet Explorer.