Private Equity
U.S. investment firm Blackstone Group said its credit platform, GSO Capital Partners, will establish a new office in Toronto. The new location, part of an expansion in GSO's North American origination activities, is expected to open in the first half of 2019. Managing Director Michael Carruthers, who joined GSO in 2006 from Credit Suisse's Toronto operation, will lead coverage in Canada and the U.S. Midwest region. Overseeing assets of about US$128 billion, GSO is focused on the global leveraged-finance market.
3 min read · 11 March 2019
Luxfer Holdings PLC (NYSE: LXFR) and Neo Performance Materials Inc (TSX: NEO) have agreed to cancel the former's proposed acquisition of Neo, a Toronto-based maker of rare-earth and rare-metal-based functional materials used in advanced technologies. The deal, announced in December, would have seen U.K.-based Luxfer pay about $820 million (US$612 million) in cash and stock. U.S. distressed investor Oaktree Capital Management, Neo’s largest shareholder, agreed to support the transaction. Neo emerged in 2016 from the bankruptcy of Molycorp Inc. Oaktree took the company public last year, raising $220 million.
2 min read · 11 March 2019
The private equity group of Brookfield Asset Management has agreed to sell BGIS, a Markham, Ontario-based provider of integrated facilities management services, for about $1.3 billion (US$1 billion). The buyer is U.S. private equity firm CCMP Capital Advisors. The deal is expected to close in Q2 2019. Brookfield Capital Partners IV, which raised US$4 billion in 2016, acquired control of BGIS in 2015 and backed its organic and acquisition-led growth. Today, the company oversees more than 320 million square feet of real estate representing over 30,000 locations in North America, Asia and Europe. In a separate statement, CCMP said BGIS CEO Gordon Hicks and the management team will remain in place.
2 min read · 11 March 2019
A joint venture of Greystar Real Estate Partners, Public Sector Pension Investment Board (PSP Investments) and Allianz Real Estate has agreed to acquire Paul St East, a U.K. student housing asset. The deal, expected to close in April, will see the investors pay more than £160 million ($281 million) for the 458-bedroom project. The seller is Apache Capital Partners, a British real estate investment firm. Last year, Allianz took a stake in the U.K. student housing-focused joint venture alongside Greystar and PSP Investments, a Canadian pension fund manager.
6 min read · 11 March 2019
BluEarth Renewables LP has acquired the Butter Solar portfolio, a 22.9 megawatt AC portfolio of 10 solar projects located in Wisconsin, Minnesota and Iowa. Terms weren't released. The seller was OneEnergy Renewables, a U.S. developer of solar energy projects. The projects are targeted for commercial operation in Q2 2019. BluEarth, a Calgary-based builder, owner and operator of wind, hydro and solar facilities, said the purchase builds on its existing U.S. portfolio and positions it to pursue other opportunities. BluEarth is backed by Ontario Teachers’ Pension Plan. Ontario Teachers’ invested in 2014 and acquired majority ownership in 2015.
3 min read · 07 March 2019
Canadian mid-market private equity firm McCain Capital Partners (MCP) has acquired Chair-man Mills, Event Rental Group and Advanced Tent Rental (CMMC), together a Toronto-based event rental specialist. Terms weren't disclosed for the deal, which saw MCP partner with management, including President John Van Schepen. CMMC was formerly majority owned by Granite Partners. Established in 1911, CMMC provides a range of rental products and services to major venues, caterers and event planners in Canada. MCP, owned by Canada's McCain family, was launched in 2017. The investment team is led by Managing Partners Zac McIsaac and Associate James Dent. CMMC is the firm's inaugural deal.
2 min read · 07 March 2019
While institutions pour billions of dollars into student-housing assets globally, a local private equity fund is looking to consolidate Canada’s fast-evolving sector. Last July, Alignvest Student Housing, an affiliate of Alignvest Management Corp, launched a fund to acquire purpose-built student accommodation. The evergreen vehicle has so far secured $125 million from family offices, institutions and wealthy investors, Managing Partner Jonathan Turnbull told PE Hub Canada. The money is capitalizing ASH's rapid deal pace, the result of an unexpectedly large supply of PBSA opportunities “coming out the woodwork,” primarily from local developers and investors, he said.
3 min read · 07 March 2019
OCR Canada Ltd, a Toronto-based provider of automated identification data capture solutions, has acquired QSG Inc, a Montréal-based specialty systems integrator focused on field and supply chain mobility. No financial terms were disclosed. QSG was founded in 1995 under the name Viascan. OCR Canada is an affiliate of Barcodes Group, a Chicago-based provider of automated products and services, including barcode, mobile computing and radio frequency ID solutions. Barcodes was acquired in January by U.S. private equity firm Odyssey Investment Partners from Cortec Group.
3 min read · 07 March 2019
Integrated Asset Management Corp (IAM) has provided a $45 million loan to fund an operating lease package for Cooke Aquaculture Inc, a Black’s Harbour, New Brunswick-based seafood company. The loan is being provided through Lighthouse Finance, a U.S. seafood operational leasing and asset management firm, to finance a portfolio of marine vessels and aquaculture equipment. Established in 1985, the family-owned Cooke Aquaculture is the largest producer of farmed salmon in North America. In January, IAM, a Canadian alternative asset management firm, closed its sixth private corporate debt fund, raising $843 million.
2 min read · 06 March 2019
Investment Management Corp of Ontario (IMCO) has hired Christian Hensley as senior managing director, public equities and credit, effective April 9, 2019. Hensley joins IMCO from Canada Pension Plan Investment Board (CPPIB), where he worked for nearly seven years. He most recently served as managing director and head of relationship investments. Before CPPIB, Hensley was a senior investment professional with U.S. private equity firms Planier Capital and Charterhouse Group. Launched in 2017, Toronto-based IMCO oversees $62 billion in assets on behalf of Ontario Pension Board and Workplace Safety and Insurance Board.
2 min read · 06 March 2019
