Private Equity
Ampersand Capital Partners has acquired Pacific Biomarkers, a Seattle, Washington-based provider of biomarker development and central laboratory testing services. No financial terms were disclosed for the deal, which will see Pacific Biomarkers merge with Neomed-Labs, a Laval, Québec-based provider of clinical immunology laboratory services. Earlier this year, Ampersand, a U.S. private equity firm, invested in the management buyout of Neomed-Labs. Neomed-Labs President and CEO Benoit Bouche, who will head the combined entity, said the merger of the two bioanalytical contract research organizations creates an expanded business with a broad set of capabilities.
4 min read · 19 November 2018
Fairfax Financial Holdings, owned by Canadian billionaire Prem Watsa, has acquired an almost 14 percent stake in steelmaker Stelco Holdings for $250.1 million, Reuters reported. The insurer bought the stake in Stelco from Bedrock Industries, a unit of U.S. private equity firm Lindsay Goldberg LLC, which owned 60.1 percent in the company before the sale. Bedrock still holds about 47 percent stake in Stelco. Last year, Hamilton, Ontario-based Stelco went public on the Toronto Stock Exchange, raising $230 million.
1 min read · 19 November 2018
Canadian mid-market private equity firm CAI Capital Partners has agreed to sell its majority interest in GeoStabilization International LLC (GSI), a Grand Junction, Colorado-based provider of geotechnical maintenance services. No financial terms were released for the deal, which is expected to close this year. The buyer is Kohlberg Kravis Roberts & Co (KKR). Founded in 2002, GSI specializes in landslide repair and rockfall mitigation services in North America, developing and implementing solutions that protect from and remediate geohazards in order to restore the safe operability of impacted infrastructure. CAI acquired its stake in 2012. Led by President and CEO Colby Barrett, GSI also has an office in Vancouver.
4 min read · 19 November 2018
Canadian mid-market private equity firm CAI Capital Partners has acquired Ansan Traffic Group Ltd, a Richmond, British Columbia-based provider of traffic management and control services. Terms weren't disclosed. CAI partnered in the deal with BDC Capital, Roynat Equity Partners and Frind Group of Co. Founded in 1978, Ansan provides traffic control personnel, lane closure services, traffic permits and management plans, road maintenance and landscaping-vegetation management services. CAI Managing Partner Tracey McVicar said her firm will invest in Ansan to help it become the "clear leader in Canada" and consider acquisitions to expand service lines and geographic presence.
4 min read · 16 November 2018
The U.S. leveraged loan market is looking forward to its first jumbo buyout loan of 2019 after the US$13.2 billion acquisition of Johnson Controls International Plc’s power solutions business by Canadian private equity firm Brookfield Business Partners, Reuters reported. The deal has more debt and less equity than most of 2018’s buyout loans as private equity firms issue increasingly aggressive deals to take advantage of strong investor demand for floating-rate debt in a rising interest rate environment. JP Morgan is leading the dollar-denominated loan for the business, while Barclays will lead the euro-denominated loan, the banker said. Credit Suisse is leading the bond offering, which is expected to be issued in dollars.
3 min read · 16 November 2018
CPI Card Group Inc (Nasdaq, TSX: PMTS) has agreed to sell its Canadian affiliate to Allcard Ltd, a Cambridge, Ontario-based provider of non-secure card solutions to the gift and loyalty sectors. No financial terms were released for the deal, which is expected to close in early 2019. Littleton, Colorado-based CPI, a provider of payment card production and related services, said the sale is consistent with its plan to focus on core businesses, including card manufacturing, personalization, instant issuance and prepaid. CPI, which went public in 2015, is a portfolio investment of Canadian private equity firm Parallel49 Equity. Parallel49’s predecessor, Tricor Pacific Capital, acquired the company in 2007.
4 min read · 16 November 2018
Canadian mid-market private equity firm Roynat Equity Partners has sold its stake in St-Méthode Bakery (BSM), an Adstock, Québec-based producer and distributor of organic and artisinal breads. No financial terms were released. The buyer was the Faucher family, led by BSM President Benoît Faucher, which in 2014 sold a minority interest in the company to Roynat. During its period of investment, Roynat supported BSM's growth strategy, risk management and succession planning, Director Catherine Parent said. Established in 1947, BSM distributes four healthy food product lines across Québec.
3 min read · 15 November 2018
Detour Gold Corp has agreed to name two of investor Paulson & Co’s nominees to its board as it looks to end a proxy fight with the U.S. hedge fund that had called for a complete overhaul of the board, Reuters reported. The Canadian gold miner also said its interim CEO would step down as a director. Paulson & Co, which has a 5 percent stake, had also called for the company to explore strategic alternatives, including a sale. Detour has been under attack by other shareholders as well, including U.S. hedge fund Livermore Partners and U.S. investment company Coast Capital Management LP, which have asked for a sale of the company and a rejig of its board.
2 min read · 15 November 2018
U.S. consumer private equity firm Swander Pace Capital has acquired Bäckerhaus Veit Ltd, a Mississauga, Ontario-based artisan bakery. No financial terms were disclosed. Established in 1987 by CEO Sabine Veit, Bäckerhaus Veit produces artisan, European-style breads, rolls, buns and soft pretzel products for retail and food service customers across North America. Veit, who will continue as a board member, said the partnership with Swander Pace will help the company build partnerships, increase brand awareness, and expand distribution. The deal follows Swander Pace's acquisition earlier this year of Fine Choice Foods, a Richmond, British Columbia-based maker of Asian-flavoured appetizers.
4 min read · 15 November 2018
SugarBud Craft Growers Corp (TSX-V: RRL), a Calgary-based cannabis company focused on growing hand-crafted, select-batch products, has secured a draw-down equity facility of up to $25 million. The investor is Alumina Partners, a U.S. private equity firm. Under the deal’s terms, SugarBud will be able to draw down capital as needed to support growth, including its planned retail distribution strategy. The company's strategy is focused on the identifying, developing and operating retail cannabis stores located across Canada.
6 min read · 13 November 2018
