Canada's annual inflation rate fell to 1.7% in April due to a drop in energy prices, but analysts said a rise in closely watched core measures would make life hard for the Bank of Canada as it ponders its next rate move, Reuters reported. The overall inflation rate fell from 2.3% in March after the removal of a federal consumer carbon tax, Statistics Canada said on Tuesday. Analysts had forecast the annual rate would ease to 1.6% while the Bank of Canada last month predicted it would fall to about 1.5%, mainly due to the removal of the carbon tax and lower crude prices.

Toronto-based lithium battery recycling firm Li-Cycle said on Wednesday that it has filed for bankruptcy protection in Canada and expects to start a formal sale for its business or assets, Reuters reported. The firm's U.S. units have also commenced proceedings in the U.S. Bankruptcy Court for the Southern District of New York. Li-Cycle has entered into a $10.5 million debtor-in-possession financing and a stalking-horse credit bid for at least $40 million with London-listed Glencore, its largest secured creditor.

Hudson’s Bay is due to return to an Ontario court today for the first time in roughly two weeks to seek a reprieve from the hundreds of businesses it owes money, the Canadian Press reported. The department store is expected to use the Tuesday morning appearance to ask Judge Peter Osborne to stretch the period of time it is protected from its creditors to July 31 rather than ending May 15. The extension request comes as the business, which holds the title of Canada’s oldest company, appears to be hurtling toward a new future.

Asbestos Corporation Limited (ACL) announced on Wednesday that an order from the Superior Court of Québec granting ACL protection under the Companies' Creditors Arrangement Act (the "CCAA") has been granted, according to a company press release. Raymond Chabot Inc. has been appointed pursuant to the Initial Order as monitor of ACL in order to assist the company with its restructuring efforts and to report to the Court. The application was filed by third parties and the Company became a co-applicant. ACL also filed a petition under Chapter 15 of the U.S.

Pelican International Inc, one of the world’s largest kayak manufacturers, is in the process of being bought out by former executives in partnership with real estate developer Groupe Mach, according to reporting by Quebec-based La Presse. The deal follows a two-step insolvency process: first Pelican sought insolvency protection under the Bankruptcy and Insolvency Act (BIA) in Canada in February 2025, before transitioning to court-supervised restructuring under the Companies’ Creditors Arrangement Act (CCAA) in March.

An Ontario judge has decided which law firm will represent employees in the Hudson's Bay creditor protection case, the Canadian Press reported. An endorsement filed by judge Peter Osborne on Monday named Ursel Phillips Fellows Hopkinson LLP as representative counsel to the faltering department store's more than 9,000 employees and 3,000 retirees.

A manufacturer of capsules and tablets for the pharmaceuticals industry is scouting Asia for new partners. A steel component maker, with a client base in the United States stretching back 35 years, is telling customers to expect to pay higher prices, Reuters reported. Another company, that produces mascot costumes for sporting or school events, is lowering its prices so as not to lose American customers.

The court-appointed monitor for Lion Electric says the vehicle maker is very likely to be liquidated after the Quebec government refused to invest more public funds in the company, the Canadian Press reported. Jean-François Nadon, a representative of Deloitte, said in a court hearing this morning that government aid would have been a condition of any sale of the struggling company. Nadon says that Deloitte sought offers over the weekend from companies interested in liquidating Lion Electric, and is hoping to finalize a transaction by next Monday.

Beleaguered retailer Hudson’s Bay has attracted a bid from Canadian Tire, two sources familiar with the sales process say, the Canadian Press reported. The sources say that the household goods chain has made a bid for some of the faltering department store’s intellectual property. Anyone interested in owning Hudson’s Bay assets had until 5 p.m. on Wednesday to make a formal bid as part of the retailer’s creditor protection court case. Toronto investment manager Urbana Corp. has made a bid for the company’s intellectual property, while billionaire B.C.