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

Get local stories you won't find anywhere else right to your inbox.
Sign up here

Just Posted

Award-winning Elvis tribute artist coming to Lacombe Performing Arts Centre

Darren Lee will perform two acts featuring 1950s, 1970s Elvis Presley

Lacombe’s AFSC announces enhancements to perennial crop insurance programs

Producers are encouraged to visit AFSC.ca to view the 2020 program in full

Lacombe County, Town of Eckville sign Intermunicipal Collaboration Framework

ICF document specifies what and how services are funded and delivered

City of Lacombe partners with Vesta to support community initiatives

Mayor Creasey yesterday a $20,000 contribution from Vern Crone, production manager for Vesta Energy

Cody Dennis Memorial Game returns to Blackfalds for 16th year

Memorial game raises funds for Blackfalds Minor Hockey

VIDEO: Mass coronavirus quarantines seen in China won’t happen in Canada, authorities say

‘If a case comes here, and it is probably … it will still be business as normal’

Alberta woman charged with child abduction pleads guilty to lesser charge

Womann can’t be identified under a court-ordered publication ban

Canada slips in global corruption ranking in aftermath of SNC-Lavalin scandal

The country obtained a score of 77, which places it at the top in the Americas

Wuhan bans cars, Hong Kong closes schools as coronavirus spreads

Hong Kong leader Carrie Lam said her government will raise its response level to emergency, highest one

RCMP receive tip on Amber Tuccaro’s homicide file

Banff RCMP contacted by a male who alleged that his father may be responsible for a missing person

Here’s what Canada is doing to stop the coronavirus from getting in

Health officials are monitoring multiple possible cases in Canada

Blackfalds RCMP investigate fatal motor vehicle collision

Collision occurred at the intersection of Highway 11 and Burnt Lake Trail

Former Mountie, sports coach convicted of sex abuse in B.C. granted day parole

Alan Davidson was sentenced to almost six years for abusing seven boys in the late 1970s and early 1990s

Alberta privacy watchdog investigates ID scans at liquor stores

Alcanna Ltd., based in Edmonton, runs Liquor Depot, Wine and Beyond and Nova Cannabis stores

Most Read