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Bay Boy Furniture is bankrupt

Furniture retailer Bad Boy Furniture has officially declared bankruptcy after a failed attempt to restructure its business. The Toronto-area company, which filed a notice of intention under the Bankruptcy and Insolvency Act in November, aimed to navigate its financial challenges through a restructuring process.

The Ontario court granted approval for Bad Boy to initiate its liquidation sales in November and set a deadline of January 23 for the company to submit its restructuring proposal. Bryan Gelman, senior managing partner of Albert Gilman Inc., a licensed insolvency trustee firm, explained that the notice of intention is a legal process allowing a company to assess its financial situation over a designated period, typically 30 days or more with court-granted extensions.

You can read more on the matter here.

What’s going on?

• Biden Administration Halts Approvals of New LNG Export Plants (theDeepDive)

• The U.S. economy grew at blistering 3.3% pace in Q4 while inflation pulled back (CNBC)

• Senator Chuck Schumer Faces Backlash for Targeting Zyn, Critics Urge Focus on Border Security (theDeepDive)

• Bud Light’s Comeback Tour Will Hit the Super Bowl, Its Biggest Stage Yet (WSJ)

• Appetite for Apatite: Quebec Adds Apatite to Critical Minerals List (theDeepDive)

• Some Netflix subscribers face price hike as no-ads basic plan ends in Canada (BNN)

• George Santos admits he wasn’t invited to Trump party: ‘It’s a public event’ (Yahoo)

• Oregon Democrats Want To Recriminalize Drug Possession, Republicans Say It’s Not Enough (theDeepDive)

• GM, Honda begin U.S. fuel cell production in step toward replacing diesel (CNBC)

• BMW Looks into Putting Humanoid Robots on the Assembly Line (theDeepDive)

• Hedge Fund Demands $100 Million From Its Compliance Team After SEC Probe (Bloomberg)

What’s the latest?

• Interest Rates: The European Central Bank (ECB) has maintained its key interest rate at a record high of four percent, continuing its strategy to ensure inflation is under control before considering rate cuts anticipated later this year. Financial markets speculate a rate cut could happen as early as April, but ECB President Christine Lagarde suggests it's more likely in the summer.

• Tesla Craters: Tesla's stock tumbled nearly 11% after CEO Elon Musk warned of slower sales growth this year, despite recent price cuts that have impacted margins. The news has resulted in Tesla losing around $70 billion in market value. Investors and analysts are concerned, noting that fourth-quarter revenue and profit were also below expectations.

• Microsoft Layoffs: Microsoft Corp. has announced layoffs affecting 1,900 employees across its video-game divisions, including at Activision Blizzard, which it acquired for $69 billion last year. These layoffs account for approximately eight percent of Microsoft’s 22,000 gaming workers.

• Trans Mountain Interest: Evan Siddall, CEO of the Alberta Investment Management Corporation, expressed interest in considering the purchase of the Trans Mountain pipeline once the Canadian government decides to sell it. AIMCo, which manages nearly $160 billion in assets, is actively monitoring the situation and has informed the government of its interest. The federal government acquired the pipeline in 2018 to ensure the continuation of its expansion to the Pacific coast, amidst opposition in British Columbia, and has plans to sell it post-completion.

• Netflix Changes: Netflix is phasing out its ad-free "basic" plan in Canada, which was priced at $9.99. Previously, this plan was made unavailable to new or returning subscribers, but now it is being discontinued entirely, even for existing users who were continuing under this plan. Those on the basic plan will need to decide between downgrading to a $5.99 plan that includes ads or upgrading to a higher-priced ad-free plan starting at $16.49 per month.

The rise and fall of F45

The stock market and stuff

• Tesla: FinTwits’ Analysis On The Q4 2023 Financials (theDeepDive)

• Microsoft lays off 1,900 workers, nearly 9% of gaming division, after Activision Blizzard acquisition (CNBC)

• Apple takes top spot in China’s smartphone market for the first time as Huawei returns to the top 5 (CNBC)

• Tesla Reportedly Plans Mid-2025 Launch for Affordable “Redwood” Electric Vehicle (theDeepDive)

In the juniors

• Kootenay Silver Sees Grade Improvement In Updated La Cigarra Resource Estimate (theDeepDive)

• Patriot Battery Metals Appoints Ken Brinsden, Ex-Pilbara CEO, As Chief Executive Officer (theDeepDive)

• Decade Resources Hits 5.39% Copper Over 2.13 Metres At Nobody Knows (theDeepDive)

• MedMen Sees CEO, Chairman Exit, Appoints Restructuring Officer (theDeepDive)

FULL DISCLOSURE: Sterling Metals is a client of Canacom Group, the parent company of The Deep Dive. Canacom Group is currently long the equity of Sterling Metals. The author has been compensated to cover Sterling Metals on The Deep Dive, with The Deep Dive having full editorial control. Not a recommendation to buy or sell. We may buy or sell securities in the company at any time. Always do additional research and consult a professional before purchasing a security.