Private Equity
Enbridge Inc said this week it would sell its Canadian natural gas gathering and processing business to Brookfield Infrastructure Partners LP and its institutional partners for about $4.31 billion, as part of a move to recast itself as a pipeline utility, Reuters reported. The business includes 19 natural gas processing plants and liquids handling facilities and is spread across Montney, Peace River Arch, Horn River and Liard basins in British Columbia and Alberta. Calgary-based Enbridge has been under pressure to sell non-core assets and reduce its debt.
2 min read · 04 July 2018
Toronto-based insurance brokerage Navacord Inc has agreed to a management-led buyout of its minority partner with the support of U.S. private equity firm Madison Dearborn Partners. No financial terms were released for the deal, which is expected to close in Q3 2018. Founded in 2014, Navacord partners with regional brokers offering capabilities in commercial property and casualty insurance and employee benefits consulting. It trades under nine brands in Ontario, Alberta and British Columbia. The company said Madison Dearborn's investment will accelerate its organic growth and the addition of future broker partners in Canada.
4 min read · 04 July 2018
A consortium led by European private equity firm CVC Capital Partners has agreed to acquire a 51.8 percent interest in Recordati SpA, a Milan, Italy-based developer, maker and marketer of pharmaceuticals. The consortium, which includes Canadian pension fund manager Public Sector Pension Investment Board (PSP Investments), will buy the majority of the company from Recordati family financial holding FIMEI. The deal is valued at about 3 billion euros (US$3.5 billion). The acquisition is expected to close in the fourth quarter.
6 min read · 04 July 2018
Canadian private equity firm Ardenton Capital Corp has invested in PP Control and Automation, a U.K. outsourced equipment and machine maker specializing in control and automation solutions. No financial terms were released. Ardenton partnered with PP Control Managing Director Tony Hague, who will become CEO. David Fox, who founded the company in 1967, will become chairman. Walsall, West Midlands-based PP Control serves a range of global original equipment manufacturers. Ardenton Director Allan Dunn will work with the company to implement the investor's operating system and support growth.
3 min read · 04 July 2018
Canadian Tire Corp Ltd (TSX: CTC, CTC.A) has closed its acquisition of Helly Hansen, an Oslo, Norway-based maker of sportswear and workwear. The deal, announced earlier this year, is valued at $985 million. Canadian Tire also assumed $50 million of the company’s operating debt. Founded in 1877, Helly Hansen has since 2012 been majority owned by Ontario Teachers’ Pension Plan. Ontario Teachers’ initially acquired about 75 percent of the business from Altor Funds. It bought the remaining interest in 2015. Based in Toronto, Canadian Tire provides a range of retail goods and services.
2 min read · 04 July 2018
Entertainment content studio Entertainment One (eOne) has acquired the remaining stake in Sierra/Affinity, a Beverly Hills, California-based film finance, production and foreign sales business. No financial terms were disclosed for the deal, which builds on eOne's initial investment in 2015. As a result, Sierra/Affinity's Nick Meyer and Marc Schaberg have joined the company to help lead film operations. Based in Toronto, eOne is backed by Canada Pension Plan Investment Board (CPPIB). CPPIB acquired a minority interest in 2015 from Marwyn Investment Management for $290 million.
5 min read · 03 July 2018
Alignvest Management Corp has launched Alignvest Student Housing Real Estate Investment Trust (ASH REIT) to acquire assets in the Canadian purpose-built student accommodation (PBSA) real estate sector. ASH REIT has been capitalized with $65 million in commitments and will access additional resources from Alignvest, a Canadian alternative investment manager, as well as subsequent offerings. It is slated to buy its first property in Waterloo, Ontario this month. Alignvest said ASH REIT is positioned to become the largest owner and operator of assets in Canada's fragmented PBSA sector.
5 min read · 03 July 2018
CSC ServiceWorks Inc, one of the largest U.S. vendors of coin-operated laundry machines, is exploring a sale that could value the private equity-owned company in excess of US$3 billion, including debt, sources told Reuters. CSC’s owners, Pamplona Capital Management LLP and Ontario Teacher’s Pension Plan, have hired investment bank Morgan Stanley to run an auction for CSC, the sources said. Headquartered in Plainview, New York, CSC provides Coinmach laundry machines for apartment communities, co-ops, condos, military housing and public housing properties.
1 min read · 03 July 2018
Renewable power producer Innergex Renewable Energy Inc (TSX: INE) has acquired the Phoebe solar project in Winkler County, Texas from Longroad Energy Partners LLC. No financial terms were disclosed. The 315 megawatt-DC project, which is expected to reach commercial operation in the third quarter of 2019, will begin construction shortly at a projected cost of $524 million. Innergex said it is the company's largest solar project to date. Based in Longueuil, Québec, Innergex is backed by Caisse de dépôt et placement du Québec.
4 min read · 03 July 2018
The private equity group of Brookfield Asset Management has exercised its option to acquire an additional 2 percent ownership interest in the general partner of Teekay Offshore LP from Teekay Corp (NYSE: TK), a marine energy transportation, storage and production business based in Vancouver. As a result, Brookfield increased its GP stake to 51 percent and has obtained the right to appoint a majority of board directors. Brookfield last year acquired 60 percent of Teekay Offshore for about $938 million (US$750 million). As part of the deal, the Canadian investor took a 49 percent position in the company's GP.
4 min read · 03 July 2018
