Canada

PE-sponsored SPAC Bespoke closes $350 mln IPO on TSX

Bespoke Capital Acquisition Corp (BCAC) has closed its initial public offering (IPO) on the Toronto Stock Exchange, raising US$350 million. The proceeds will increase to US$402 million if the IPO's greenshoe option is exercised in full. The underwriters are Canaccord Genuity Corp and Citigroup Global Markets Canada Inc. BCAC, a newly-formed special purpose acquisition corporation (SPAC), is focused on acquiring one or more businesses in the cannabis industry. The London, U.K.-based SPAC is sponsored by Bespoke Sponsor Capital LP, which is controlled by U.K. private equity firm Bespoke Capital Partners. Its directors include Bespoke Founders Rob Berner and Mark Harms.

Lightspeed selling investors to see $189 mln from secondary deal

Lightspeed POS (TSX: LSPD) has priced its previously announced offering of subordinate voting shares on behalf of selling shareholders. Underwriters have agreed to buy about 5.4 million shares for $35 per unit, generating proceeds of about $189 million. The amount increases to about $217 million if the greenshoe option is exercised in full. The selling shareholders include Lightspeed Founder and CEO Dax Dasilva, Caisse de dépôt et placement du Québec and Inovia Capital. Lightspeed, a Montréal-based retail and restaurant point-of-sale and e-commerce platform, closed its initial public offering (IPO) in Canada earlier this year, raising $276 million. The IPO valued the company at $1.5 billion.

Daniel Fournier to step down as CEO of CDPQ's real estate arm

Caisse de dépôt et placement du Québec (CDPQ) said Daniel Fournier, chairman and CEO of Ivanhoé Cambridge, the pension system's real estate investment arm, will retire in October. Fournier has headed Ivanhoé's operations and investment activity since 2010. During this time, he led the consolidation of CDPQ's real estate affiliates and oversaw deal volume of nearly $100 billion. Fournier will be replaced as CEO by Nathalie Palladitcheff. She joined Ivanhoé in 2015 as executive vice president and CFO and was last year appointed president. Montréal-based Ivanhoé holds $65 billion in assets and interests in more than 1,000 buildings.

Canadian PE activity ramps up in first half with $14.9 invested

Deal values in Canada’s buyout and private equity (PE) market regained steam in Q2 2019 following a slow first quarter, according to final data released by Refinitiv. PE investing reflected values of $9.3 billion in the second quarter, up 66 percent from Q1 2019 and up 9 percent from Q2 2018. Dollar flows backed some 103 deals. On balance, PE investment stood at $14.9 billion in the first half of 2019. While this is down 19 percent from a year earlier, H1 2019 was the second most dollars-intensive first half on record. Transportation sectors captured the largest share of disbursements in the first half, while manufacturing and software sectors tied for the largest share of deals.

Canadian tech companies raise $2.8 bln of VC in H1, up 12 pct

Venture capital (VC) investment in Canadian technology companies sustained a robust pace in the second quarter of 2019, with $1.4 billion deployed across 153 financings, according to final data released by Refinitiv. This marked the most active April-through-June period in dollar terms since 2000. The number of rounds, however, were down slightly year over year. As a result, VC investment in the first half of the year hit $2.8 billion, up 12 percent from $2.5 billion invested at the same time in 2018. Life sciences sectors secured $587 million in the first half, more than the entire 2018 amount. In contrast, information technology sectors captured a relatively flat $1.7 billion.

Telus Health buys iGan Partners-backed Akira and Right Health

Telus Health has acquired Toronto-based Akira Health and Right Health, together a provider of virtual and in-person healthcare technology. No financial terms were released for the deal, which will see Akira and Right Health continue to operate under their existing brand. Founded in 2015, Akira was acquired two years later by Right Health, a portfolio company of Canadian healthcare technology venture capital firm iGan Partners. Akira-Right Health is led by Co-founders and Co-CEOs John Mozas and Dan Pawliw. Telus Health is the digital health solutions and technology affiliate of Canadian telecommunications company Telus Corp (TSX: T).

Transplant tech startup Tevosol closes $2 mln seed round

Tevosol, an Edmonton-based medical device maker, has closed a $2 million seed-stage financing, bringing total funding to $6.3 million. The round's investors were not identified. Spun out of the University of Alberta in 2015, Tevosol is the developer of the ex-vivo organ support system (EVOSS), which assists surgeons with organ transplantation. Led by CEO Ron Mills, Tevosol will use the funds raised to complete a proof-of-concept human trial, expand its team, and accelerate development of its portable perfusion device for lungs. The company said it will next seek financing to support manufacturing, clinical investigation and commercial launch.

Photonamic acquires oncology unit of VC-backed MolecuLight

Toronto-based medical imaging company MolecuLight has sold its clinical oncology business to Photonamic GmbH & Co KG for an undisclosed amount. Launched in 2013 by CSO Ralph DaCosta, MolecuLight develops fluorescent imaging technology for clinical and commercial applications. Its initial solution, MolecuLight i:X, is a handheld imaging device for assessing wounds. Photonamic, an affiliate of Japan's SBI Holdings Inc, previously partnered with MolecuLight in the oncology field. It said the deal will expand its research and development activities. Moleculight has been backed since its founding by Canadian healthcare technology venture capital firm iGan Partners and other investors.

Competition agency greenlights Onex's $3.5 bln WestJet buyout

The Canadian Competition Bureau has approved the proposed acquisition of WestJet Airlines Ltd (TSX: WJA) by Onex Corp, the Calgary-based carrier said. The approval was confirmed by the agency's issue of a no-action letter. In May, Onex, a Canadian private equity firm, offered to buy WestJet, Canada’s second-largest carrier, for $3.5 billion or $5 billion including debt. The deal is expected to close in Q4 2019. Founded in 1996, WestJet provides scheduled service to more than 100 destinations in the Americas and Europe and to more than 175 destinations in over 20 countries through partnerships.

Novacap and CDPQ-backed Nuvei closes $889 mln buy of SafeCharge

Nuvei, a Montréal-based payment technology company, has closed its acquisition of SafeCharge International Group Ltd, a Guernsey, U.K.-based provider of omni-channel payments services. The all-cash deal, announced in May, is valued at US$889 million ($1.18 billion). The combined business will have its headquarters in Montréal. Nuvei, formerly known as Pivotal Payments, secured an investment in 2017 from Canadian mid-market private equity firm Novacap and Caisse de dépôt et placement du Québec (CDPQ) that valued it at $525 million. Novacap and CDPQ also supported the SafeCharge transaction.