US STOCKS-Civeo has biggest one-day drop ever on heavy volume

Mon Sep 29, 2014 12:16pm EDT
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By Ryan Vlastelica

NEW YORK, Sept 29 (Reuters) - Shares of Civeo Corp lost almost half of their value on Monday, with the stock suffering its biggest one-day decline in its history on its heaviest ever volume.

The plunge came after the oilfield company, which was spun off by Oil States International Inc earlier this year, said it would not convert to a real estate investment trust, instead relocating to Canada for tax purposes.

Civeo, currently based in Houston, said it plans a "self-directed redomiciling" to Canada, which it believes is allowed under the U.S. tax code since more than 25 percent of revenue, assets and employees are based in Canada.

The stock lost 45 percent to $13.89, falling on volume of nearly 13 million shares, many times its 50-day average of about 976,000.

Index snapshot at 12:09 EDT:

* S&P 500 was falling 5.21 points, or 0.26 percent.

* Nasdaq Comp was losing 4.45 points, or 0.1 percent.   Continued...