The Globe and Mail reports in its Wednesday edition that Raymond James analyst Stephen Boland has elevated his recommendation for ECN Capital to "outperform" from "market perform." The Globe's David Leeder writes that Mr. Boland raised his share target by a loonie to $4. Analysts on average target the shares at $3.21. Mr. Boland says ECN posted weak second quarter results. He believes, however, that the company is in "a stronger position" following the completion of its strategic review. This is what prompted him to issue his rating upgrade. On Monday, ECN made a series of announcements alongside its quarterly report, including a plan to change its name to Triad Financial Services and collapse its parent company structure. ECN has also entered a relationship with Skyline Champion, which will acquire a 19.9-per-cent ownership of ECN through a combination of equity and preferred shares for $185-million. The two will form a captive finance company that will be 51 per cent owned by Skyline and 49 per cent owned by Triad Financial. Other announcements include an increased financing commitment from Blackstone to $1.1-billion and a further review of its RV/marine business, which Mr. Boland expects to be sold.
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