Private Equity
Canadian business communications provider Mitel Networks Corp (TSX: MNW, Nasdaq: MITL) said its shareholders have approved the company's acquisition by an investor group led by U.S. private equity firm Searchlight Capital Partners. About 97.5 percent of the shares voted at a meeting today were cast in favour of the deal, which was announced in April at a value of about $2.6 billion (US$2 billion), including debt. It is expected to close in the second half of this year. Based in Ottawa, Mitel provides business connections for more than 70 million users in over 100 countries.
2 min read · 10 July 2018
Hub International Ltd, a portfolio company of U.S. private equity firm Hellman & Friedman (H&F), has acquired the shares of Toronto-based Independent Financial Concepts Group Ltd (IFCG), a managing general agency. No financial terms were disclosed. Hub, a global insurance brokerage with significant operations in Canada, was bought by H&F for about US$4.4 billion in 2013. The company has its headquarters in Chicago.
3 min read · 10 July 2018
MAV Beauty Brands Inc, the holding company for Toronto-based beauty specialist Marc Anthony Cosmetics Inc, has closed its initial public offering in Canada. The company raised about $242 million in treasury and secondary proceeds. As reported last month by PE Hub Canada, the IPO’s forthcoming greenshoe option could bring total proceeds to as much as $278 million. Marc Anthony's common shares will begin trading today on the Toronto Stock Exchange under the symbol MAV. Founded in 1995 and led by Marc Anthony Venere, Marc Anthony develops, markets and distributes hair-care and body-care products. It was acquired in 2016 by U.S. private equity firm TA Associates.
3 min read · 10 July 2018
U.S. private equity firm Blue Wolf Capital Partners has completed its sale of Suwannee Lumber and Caddo River Forest Products to Conifex Timber Inc (TSX: CFF), a Vancouver-based manufacturer and seller of lumber products. As a result of the $262 million (US$200 million) cash-and-stock deal, announced in May, Blue Wolf Partner Charles Miller and Strategic Advisor George Judd have taken seats on Conifex’s board. In a separate release, BW SLC Holdings LLC, a Blue Wolf affiliate, said it acquired common shares and warrants in Conifex. The transaction will give BW SLC ownership of up to 21.59 percent of the company's issued and outstanding shares.
4 min read · 10 July 2018
Australian retirement village owner Gateway Lifestyle Group has rejected Hometown America’s revised takeover bid offering A$695 million (US$514 million) in cash, saying it was not in the best interest of the company and its shareholders, Reuters reported. The revised offer had come after Gateway agreed to grant an exclusive due diligence to Canada’s Brookfield Asset Management, which made a non-binding A$2.30-a-share offer for Gateway on June 21, trumping an earlier offer from Hometown.
1 min read · 10 July 2018
Distribution International Inc (DI) has acquired certain assets of Frost Insulation Supplies Inc, a Surrey, British Columbia-based provider of mechanical insulation and related supplies to specialty insulation and heating, ventilation and air conditioning (HVAC) contractors. No financial terms were disclosed for the deal, which was done by DI's Canadian affiliate Crossroads C&I Distributors Inc. DI, a Houston-based distributor of insulation-related fabricated products, HVAC products and safety supplies, said the deal aligns with its consolidation strategy in North America's mechanical insulation market. DI is backed by U.S. private equity firm Advent International, which acquired the company in 2014.
3 min read · 10 July 2018
Morneau Shepell Inc (TSX: MSI) has agreed to acquire all of the outstanding shares of LifeWorks Corp Ltd, an Atlanta, Georgia-based employee assistance program and wellness provider. The cash-and-stock deal, expected to close this month, is valued at about $426 million. Morneau Shepell, a Toronto-based human resources consulting and technology company, said the acquisition will bolster its global footprint. LifeWorks was formed in 2016 through a joint venture between Work Angel Technology Ltd and Ceridian HCM Holding Inc. When Ceridian went public earlier this year, it spun out LifeWorks to existing shareholders, including Thomas H. Lee Partners and Cannae Investors.
9 min read · 10 July 2018
Denham Capital, a U.S. resources and energy-focused private equity firm, has secured US$558 million for its first stand-alone mining fund. The Denham Mining Fund, backed with commitments from global institutional investors, will target deal opportunities in base metals, metallurgical coal, and industrial and specialty minerals in four regions, including Canada. Last year, Denham sold its interest in Vancouver-based mining company JDS Silver Holdings Ltd for US$250 million.
3 min read · 09 July 2018
Tilray, a Nanaimo, British Columbia-based cannabis cultivator, processor and distributor, has priced its recently filed initial public offering in the United States. Tilray, which plans to list on the Nasdaq Global Select Market under the symbol TLRY, is selling Class 2 common stock at an initial price of US$14 to US$16 per unit. The IPO is expected to raise as much as US$165.6 million ($217 million) in proceeds, assuming its greenshoe option is fully exercised. Founded in 2014, Tilray is owned by U.S. cannabis private equity firm Privateer Holdings. Earlier this year, the company closed a $60 million Series A financing backed by unidentified institutional investors.
3 min read · 09 July 2018
Canada Pension Plan Investment Board (CPPIB) and Silicon Valley-based investor TCV are buying a stake in Sportradar, valuing the Swiss sports data group at 2.1 billion euros (US$2.5 billion), including debt, Reuters reported. Founder and Chief Executive Carsten Koerl will retain his majority stake in Sportradar, while CPPIB and TCV are buying a 37 percent stake from buyout group EQT as well additional shares from other minority investors. CPPIB and TCV won out in the auction against buyout groups KKR and Blackstone Group, sources said.
2 min read · 09 July 2018
