06:22:24 EDT Fri 03 May 2024
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Globe says Lululemon returns to Canadian markets

2024-02-14 08:21 ET - In the News

Also In the News (C-CM) Canadian Imperial Bank of Commerce (CIBC)
Also In the News (C-LULU) Lululemon CDR (CAD Hedged)

The Globe and Mail reports in its Wednesday, Feb. 14, edition that Lululemon athletica is returning to Canada after over a decade away from home. The Globe's Jameson Berkow writes that Lululemon will not be relaunching its public listing in Canada that it abandoned in 2013. Instead, Canadian investors can purchase Lululemon shares in Canadian dollars by buying Canadian Depositary Receipts (CDRs) from Thursday onward. Seven new CDRs issued by the Canadian Imperial Bank of Commerce will be available for trading on Thursday on the Cboe Canada exchange. This brings the total number of available CDRs to 54. This week, in addition to Lululemon, several other CDRs will also be available for trading, including BlackRock, Constellation Brands, Deere & Co., Palo Alto Networks, ServiceNow and Thermo Fisher Scientific. Since they first became available in July, 2021, CDRs have become an increasingly popular option for Canadians looking to invest in major American companies while minimizing currency risk. Because CDRs are sold in Canadian dollars, buyers also gain a hedge against fluctuations in the Canada-U.S. exchange rate. CIBC makes money on the CDRs by charging small fees from the foreign exchange transactions it makes.

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