The Oreninc Index rose, but remained fully entrenched in the depths of a summer slump for the week ending August 21, 2014. While it increased a decent margin from the week before, this marks week three of the worst three-week stretch of the past few years. Total dollars jumped to $67.6m, a four-week high. Four brokered deals were announced for $18.5m, a three-week high; one bought deal was announced for $12.5m, a four-week high.
The biggest news of the week came with BHP announcing their intentions to spin off non-core assets into a new company that will be run independently (100% of the shares of the new company will be distributed to their current shareholders). BHP says they are demerging assets that they consider not part of the future of their core business (many of these are operations gained in the 2001 merger of the two companies). Shares fell 5% on the news. Gold prices hit a two-month low after the United States Federal Reserve’s July meeting minutes indicated that the organization was slightly more likely to increase interest rates if the economy continued to gain strength. The TSX-V composite index did rise marginally this week, though junior miner North American Nickel (TSX-V:NAN) fell 40% on news of their summer drill results.
While the Oreninc Index’s numbers are certainly disappointing, Labour Day can be seen in the distance, and with it the promise of bankers back at their desks and companies back trying to raise money. The question is whether this unusually poor August is just an unusually lazy summer or signs of an equally disturbing September to come.
Summary:
Major Financing Openings:
Major Financing Closings:
Oreninc also publishes the Oreninc Deal Log, a daily list of all financing activity in the TSX, TSX-V and CSE resource sectors. Visit http://oreninc.com to see which companies and sectors to watch. Oreninc also writes custom reports for companies on effective capital raising strategies to help companies maintain long-term shareholder value.
Read the Report Here Mercenary Alert: Is Zinc Still a Four-Letter Word? ... READ MORE
May saw 125 financings close in the Canadian financial markets for C$366.5 million including 64 fina... READ MORE
ORENINC INDEX – Monday, June 12, 2017 North America’s leading junior mining finance data provide... READ MORE
The new North American trading week began on Monday June 5th with... READ MORE
The new North American trading week began on Monday, May 29th wit... READ MORE