Canada

Granite Partners-backed Sim to be acquired by U.S. SPAC

Sim Video International Inc, a Toronto-based provider of solutions to the television and film industries, has agreed to be acquired by Saban Capital Acquisition Corp (Nasdaq: SCAC), a U.S. special purpose acquisition company (SPAC). The deal will see Sim combined with Woodland Hills, California-based Panavision Inc to create a provider of end-to-end production and post-production services to the entertainment sector. The transaction values the combined entity at US$622 million, including debt. Established in 1982, Sim is led by President and CEO James Haggarty. The company has been backed since 2013 by Canadian private equity firm Granite Partners.

Hilco investment Kraus to sell flooring distribution unit to QEP

QEP has agreed to acquire the hard surface and carpet tile distribution business of Canada’s Kraus Group of Cos, according to a news release. Terms weren’t disclosed. U.S.-based QEP said Kraus is seeking approval for the deal under the Companies Creditor’s Arrangement Act in Canada and the U.S. Bankruptcy Court. The transaction is expected to be completed next month. Kraus, a Waterloo, Ontario-based carpet and flooring maker and distributor, has been backed since 2012 by Hilco Capital, a U.K. private equity firm. Hilco acquired $130 million of Kraus debt and security from a syndicate of secured lenders.

Swander Pace acquires Asian food specialist Fine Choice Foods

U.S. consumer private equity firm Swander Pace Capital has acquired Fine Choice Foods, a Richmond, British Columbia-based developer, maker and distributor of fresh and frozen Asian-flavoured appetizers. No financial terms were released. Founded in 1986 by the Lui family, Fine Choice's products, including items under its Sum-m! brand, are distributed through retail and food service channels in Canada and the United States. Michael Axelrod, head of U.S.-based Passport Food Group, acquired last year by Swander Pace, will serve as Fine Choice's CEO. Swander Pace, which has an office in Toronto, invested in Fine Choice through SPC Partners VI, which raised US$510 million in 2016.

Just Energy raises $325 mln facility led by Sagard Credit Partners

Just Energy Group Inc (TSX, NYSE: JE) has entered into a non-revolving multi-draw senior unsecured term loan facility of about $325 million (US$250 million). The financing group is led by Canadian direct credit financing firm Sagard Credit Partners (SCP). Toronto-based Just Energy is a consumer company specializing in electricity and natural gas commodities, energy efficiency solutions, and renewable energy options. It will use the proceeds to pay down the company’s credit line, acquisitions and other priorities. SCP, an affiliate of Power Corp's investment arm Sagard Holdings, earlier this year raised $325 million in the first close of its debut credit fund.

DWHP sells Reliant Rehabilitation to HIG Capital

Canadian healthcare private equity firm DW Healthcare Partners (DWHP) has sold Reliant Rehabilitation, a Plano, Texas-based provider of rehabilitative therapy services to patients in U.S. long-term care facilities. No financial terms were released for the deal, which saw the company go to HIG Capital, a U.S. private equity firm. DWHP has backed Reliant since 2011. The transaction comes on the heels of another DWHP exit. In August, the firm sold PRIME Education, a Fort Lauderdale, Florida-based healthcare education and research company.

Oxford trumps Blackstone bid for Investa, wins over top investor: Reuters

Canadian landlord Oxford Properties Group has sweetened its bid for Australian office owner Investa Office Fund to A$5.60 (US$4.02) per share, escalating a bidding war with U.S. private equity giant Blackstone Group, Reuters reported. Oxford’s new offer, backed by a top Investa shareholder, ICPF, is A$0.10 per share higher and values Investa at A$3.35 billion (US$2.41 billion). It comes just ahead of a meeting scheduled for Monday where Investa shareholders are set to vote on Blackstone’s rival bid. Oxford is the real estate investment arm of the Ontario Municipal Employees Retirement System (OMERS).

Carlyle Group in talks to buy Sedgwick Claims: Reuters

U.S. private equity firm Carlyle Group LP is in talks to acquire Sedgwick Claims Management Services Inc, the largest U.S. insurance claims service provider, for more than US$6 billion, including debt, sources told Reuters. Carlyle has made a higher offer for Sedgwick than U.S. buyout firm Hellman & Friedman LLC, a former owner of the company that is also competing to acquire it, the sources said. Sedgwick’s owners, U.S. buyout firm KKR & Co LP, Stone Point Capital and Canadian pension fund Caisse de dépôt et placement du Québec, are hoping they can clinch a deal as early as this week.

H&F’s Hub International buys Hometown Insurance Brokers

Hub International Ltd has acquired Hometown Insurance Brokers, a Vonda, Saskatchewan-based full-service insurance brokerage. Terms weren't disclosed for the deal, which will see business owners Garth Wruck and Denise Wruck join Hub Manitoba. Founded in 1977, Hometown offers personal and commercial insurance solutions, including crop hail insurance. Hub, a Chicago-based full-service insurance company, was bought in 2013 by U.S. private equity firm Hellman & Friedman (H&F) for about US$4.4 billion.

Cannabis company Matica secures $20 mln facility from Alumina

Matica Enterprises Inc, a Toronto-based cannabis company, has secured a draw-down equity facility of up to $20 million from Alumina Partners, a U.S. private equity firm. The facility's proceeds will be used to advance construction of cannabis greenhouses in Québec. Matica is currently building a growing facility that is intended to be part of 1 million square feet of greenhouse capacity on a Hemmingford, Québec property. Matica earlier this year agreed to acquire a 40 percent stake in Yunify Natural Technologies to collaborate on cannabis product development.

HBC, Signa form European retail, real estate joint venture: Reuters

Hudson’s Bay Co and Signa Holding will merge Germany’s Galeria Kaufhof and Karstadt to form Europe’s third biggest department store chain as they battle online rivals, Reuters reported. The combined retail company will have annual sales of around 5.4 billion euros (US$6.3 billion). Austria’s Signa will hold a 50.01 percent stake in the new entity, with HBC possessing the rest. HBC bought Kaufhof in 2015, hoping to make it the centre of its European expansion. But the company is battling its own losses and a campaign by U.S. hedge fund Land & Buildings to boost its share price by extracting value from its real estate holdings.