Crescent Point Energy Corp on Wednesday named Craig Bryksa its new chief executive officer and said it would immediately reduce 17 percent of its workforce as the Canadian energy producer looks to turn around its business.
The company, whose stock has underperformed the broader market in recent years, in May won a proxy fight with activist investor Cation Capital. Crescent Point's stock has dropped 18.4 percent this year, much bigger than the 1.4 percent fall in the S&P TSX Energy Index . A widening in the discount at which Canadian oil trades to the U.S. light crude has hurt the company's bottomline, while costs and debt have risen. Crescent Point also said on Wednesday it planned to reduce its debt by more than C$1 billion ($759.5 million) by end-2019. The company had a net debt of C$4.02 billion, according to its latest earnings report. The Calgary, Alberta-based company, which had 1,085 full-time permanent employees as of December end, said the workforce reduction is expected to generate annual savings of over $50 million. The company said it would also divest some assets. (Reporting by Karan Nagarkatti in Bengaluru; Editing by Bernard Orr and Sriraj Kalluvila)