The head office of SNC Lavalin are seen Thursday, February 19, 2015 in Montreal. (File photo by THE CANADIAN PRESS)

Trudeau election win boosts SNC-Lavalin shares amid hopes around criminal case

Liberal win left open the possibility of a plea deal on fraud and corruption charges

SNC-Lavalin Group Inc. shares shot up Tuesday after the Liberal election win left open the possibility of a plea deal on fraud and corruption charges facing the engineering firm.

The beleaguered company saw shares climb 13 per cent or $2.24 to $19.92 in early-afternoon trading, buoyed by investor hopes that the Liberal refusal to close the door on a deferred prosecution agreement will play out to SNC’s advantage ahead of a criminal trial.

Prof. Karl Moore of McGill University’s Desautels Faculty of Management says the return of a Liberal government to Ottawa, albeit a minority, is “good” for SNC-Lavalin.

Analyst Chris Murray of Altacorp Capital says a resurgent Bloc Quebecois, which more than tripled its seat count to 32, could fan hopes the new Parliament might work to help the Montreal-based multinational.

Attorney General David Lametti has refused to shut down the possibility of a remediation agreement with SNC. The company has seen its market value fall by roughly 60 per cent since January amid a political scandal in Ottawa, and faces an upcoming trial on charges of fraud under the Criminal Code and bribery under anti-corruption legislation.

SNC-Lavalin declined to discuss the government’s intentions or comment on the ongoing court case.

The Canadian Press

READ MORE: SNC-Lavalin slashes profit forecast amid shift away from oil and construction

Like us on Facebook and follow us on Twitter

Just Posted

Community Futures launches cannabis consultation program

The Cannabis Business Transition Initiative helps businesses move into the legal economy

Kootenay Patricks assemble to take on Montreal Canadiens alumni

The charity game takes place Jan. 23 in Nelson

Castlegar woman to appear on Dragons’ Den

Happy Gut sells water kefir beverages and kits to make water kefir at home.

Four injured in Wednesday evening crash near Beasley

Police say alcohol may have been a factor in the incident

Update: accident between Castlegar and Nelson closes Hwy. 3

DriveBC estimates road will re-open at 2:15 a.m.

VIDEO: Disney Plus adds disclaimer about racist stereotypes

Disney’s disclaimer is a good way to begin discussion about the larger issue of racism

B.C. woman seeks return of jewelry box containing father’s cremated remains

Sicamous RCMP report handmade box was stolen from a storage locker

Vancouver police officer charged with sexual assault in apparent off-duty incident

Jagraj Roger Berar, 51, of Surrey, charged in incident alleged to have happened in Whistler

CN Rail confirms job cuts as weakening economy cuts into freight volumes

Railroad also said it was affected by a slowdown in the B.C.’s forestry sector

Port Alberni mom takes school district to court over Indigenous smudging, prayer in class

Candice Servatius, who is an evangelical Christian, is suing School District 70

New case of vaping-related illness in Quebec brings national total to 8

Quebec health minister considering tightening the rules around vaping products

Greens to vote against Liberal throne speech unless carbon targets toughened: May

Green leader Elizabeth May and Prime Minister Justin Trudeau met Friday, discussing common ground

First Nations ‘optimistic’ about road upgrades after Horgan visits site of fatal bus crash

Premier travelled Bamfield Main road, where bus flipped last September and two students were killed

Princeton couple pays for dream vacation with 840,000 grocery store points

It’s easy if you know what you are doing, they say

Most Read