Contracts come just days after shareholder dispute pushed company's stock price to a two-year high, causing a trade halt.
June 3, 2013
by PLANT STAFF with files from The Canadian Press
DRUMMONDVILLE, Que. – CVTech Group Inc. has been awarded industrial maintenance and construction contracts totaling $77.4 million just days after shares dipped slightly following a day-long halt amid a shareholder dispute that pushed the stock price to a two-year high last week.
The contract’s include:
Ontario-based subsidiary Riggs Distler Inc. has obtained five contracts totalling $24.5 million.
US subsidiary Riggs Distler & Co. Inc. has been awarded several contracts valued at $47.1 million.
Thirau ltée has also been awarded a contract valued at $5.8 million by Hydro-Québec for the construction of 315-kV and 120-kV electricity transmission lines to connect the new Lachenaie, Pierre-Le Gardeur and Saint-Bruno-de-Montarville substations to the network, which is expected to be completed by September 2013.
The stock stock soared about 20% on unusually high volume in the first minutes of trading Friday before the halt.
The ususual market activity followed a public letter from Gestion G. Aubert, owned by Guy Aubert, that said a leading NYSE-listed electrical contractor had offered $1.95 per share but was rebuffed by CVTech.
The company, which provides various services to Hydro-Quebec and other utilities, responded late Friday that a letter contained “erroneous and incomplete information.”
Drummondville, Que.-based CVTech is a provider of construction and maintenance services to the public utility and heavy industrial markets mainly in Quebec, Ontario and the eastern US.