ADF Group Secures $234 Million in New Orders

Quebec-based steel-products company, ADF Group, experiences share price boost after announcing $234 million in new orders.

As of 10:32 a.m. ET, ADF Group shares were trading 12% higher at C$6.58.

Expansion of Pharmaceutical Construction Project

ADF Group announced that a portion of the new orders is a result of an expanded contract for the first phase of a major construction project in the pharmaceutical sector in the Midwest region. The contract, originally announced in May, now includes additional work set to begin this month. Furthermore, ADF has also reached an agreement with the same client for the second phase of the construction project, the largest in terms of value within this series of new orders.

The scope of work includes the design and engineering of connections, fabrication work, and the supply of steel and industrial coatings. Fabrication is expected to commence in February, spanning approximately 15 months.

New Contract in Southeastern Region

ADF Group has secured another contract in the Southeastern region of the U.S., which involves the fabrication and industrial coating of a new industrial building for a global manufacturing company in the aluminum sector. The project is expected to run for six months and will engage both of ADF's fabrication plants and paint shop, located in Terrebonne, Canada, and Great Falls, Montana.

Additional Contracts in Canada

In addition to the aforementioned projects, ADF Group has obtained two new contracts within Canada.