BGI Stock Price Increases Over 30%: Why It Happened

By Amit Chowdhry ● July 1, 2021
  • The stock price of Birks Group Inc (NYSEAMERICAN: BGI) increased by over 30% pre-market. This is why it happened.

The stock price of Birks Group Inc (NYSEAMERICAN: BGI) increased by over 30% pre-market. Investors are responding positively to Birks Group Inc (NYSEAMERICAN: BGI) providing a business update stating that as of June 30, 2021, all 29 of the Company’s retail stores across Canada are now open for in-person shopping and serving clients in accordance with the directives of local government and public health officials.

On June 30, 2021, the company re-opened all 9 of its mall stores in Ontario for in-person shopping in line with the second step of the province’s re-opening plan. And the stores were previously closed for in-person shopping (but open for curbside pick-up and concierge services) since April 17, 2021. The stores were also temporarily closed for a 15-week period between November 23, 2020, and March 9, 2021, in accordance with the Ontario government’s directives for non-essential retail stores. As required by provincial health restrictions, the stores are currently operating at 25% capacity.

For clients who prefer to continue to shop from home, select boutiques will continue to offer virtual appointments where clients can receive elevated service through video chat. And clients can continue to shop online 24/7 at MaisonBirks.com.

Birks Group also announces it received confirmation from the NYSE American LLC on June 25, 2021 that it was not in compliance with the continued listing standards set forth in Section 1003(a)(iii) of the NYSE American Company Guide. That section applies if a listed company has stockholders’ equity of less than U.S. $6 million and has reported losses from continuing operations and/or net losses in its 5 most recent fiscal years. Birks Group can regain compliance under Section 1003(a)(iii) of the Company Guide as well as under Section 1003(a)(i) and Section 1003(a)(ii), as previously disclosed, under the compliance plan approved by NYSE American on October 22, 2020, which granted the company an extension for its continued listing until February 6, 2022. And the company is not required to submit an additional plan to NYSE American with respect to Section 1003(a)(iii).

KEY QUOTES:

“We are extremely pleased and excited to welcome our clients back into our stores in Ontario following a long closure due to required COVID-19 restrictions. It is a pleasure to have our full retail network available again and to provide our clients with the full scope of our offering and services. As we transition into a gradual re-opening in Ontario, we remain committed to providing our customers with Maison Birks’ elevated client service and luxury experience in a safe environment for all.”

— Jean-Christophe Bédos, President and Chief Executive Officer of Birks Group

Disclaimer: This content is intended for informational purposes. Before making any investment, you should do your own analysis.