Private Equity
Canadian department store owner Hudson’s Bay Co and joint venture partner RioCan REIT have signed a conditional agreement to sell HBC’s flagship store in Vancouver for about $675 million to an Asian buyer, a source told Reuters. The buyer, who owns a closely-held real estate company, is seeking to arrange interim financing from at least one Canadian lender. The deal is expected to close in June. It progresses HBC’s efforts to extract value from its substantial real estate holdings as it battles a retail industry-wide slump and faces investor pressure to lift its share price.
2 min read · 07 May 2018
Canadian private equity firm Lynx Equity has acquired Blind Bay Village Grocers, a Blind Bay, British Columbia-based retail destination providing fuel, liquor and groceries. No financial terms were disclosed for the deal, which includes more than 2.5 acres of land on which the 21-year-old store is located. Lynx bought the business from Annette and Colby Woodhead, who will remain with Blind Bay for a transitional period. James Inglis, Doug Nakano and Steve McNair will continue to lead the management team. Last week, Lynx said it acquired U.S. flooring contractor Flooring Solutions Inc.
3 min read · 07 May 2018
IPL Plastics plc, a Dublin-based packaging solutions provider, has filed a preliminary prospectus with Canadian securities regulators for an initial public offering of common shares. The offering has not yet been priced; however, the Irish Times earlier reported the company is looking to raise about $200 million (€125 million). IPL, formerly known as One51 plc, three years ago acquired Saint-Damien Québec-based IPL Inc, a maker of injected moulded plastic products, from Novacap for about $280 million. The company has since been backed by Caisse de dépôt et placement du Québec and Fonds de solidarité FTQ.
1 min read · 07 May 2018
Shareholders of Crescent Point Energy Corp voted to elect the Canadian energy producer’s full slate of directors after a contentious battle with activist investor Cation Capital, Reuters reported. The proxy fight, the biggest in the Canadian energy sector in at least about four years, was closely followed by investors and brought to the forefront new activist investor Cation. Cation, which owns a 0.3 percent stake in Calgary-based Crescent Point, began its public push for change at the company last month. The private investment firm, founded by Sandy Edmonstone, a former deputy head of global oil and gas at Macquarie Capital, called for changes in the board due to share value that was lost in recent years.
1 min read · 07 May 2018
Toronto-based mining company Harte Gold Corp (TSX: HRT) has agreed to receive a $90 million (US$70 million) debt financing package to support construction of its Sugar Zone Project. Sprott Private Resource Lending, an affiliate of Canadian asset manager Sprott Inc, will contribute US$50 million of senior secured debt to the package, while Appian Natural Resources Fund, a metals and mining private equity fund managed by U.K.-based Appian Capital Advisory, will account for a US$20 million subordinated loan. Harte Gold owns 100 percent of its Sugar Zone gold property, located in White River, Ontario.
4 min read · 04 May 2018
Hub International Ltd, a portfolio company of U.S. private equity firm Hellman & Friedman (H&F), has acquired the shares of Jasper, Alberta-based Carlton Insurance Brokers Inc (C.I.B.), a provider of personal and commercial insurance and specializing in solutions for the transportation industry. 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.
2 min read · 03 May 2018
Lynx Equity has acquired Flooring Solutions Inc, a commercial flooring contractor based in Livermore, California. No financial terms were disclosed. Flooring Solutions provides a range of flooring products, including carpeting, wood flooring, non-slip flooring and specialty surfaces to regional customers. President Rick Elfman, who co-founded Flooring Solutions in 1990, will remain for at least two years. Lynx, a Canadian private equity firm, said the deal introduces a third flooring business to its portfolio. In 2016, PE Hub Canada profiled Brad Nathan, the Toronto investor’s founder and president.
3 min read · 03 May 2018
Canadian plane and train maker Bombardier Inc has agreed to sell its Toronto aircraft assembly site to a pension fund as part of efforts to raise extra cash under a five-year recovery plan, Reuters reported. The company, whose quarterly results beat estimates for profit by a cent, will make US$635 million ($816 million) gross from the sale to Canada's Public Sector Pension Investment Board (PSP Investments). Bombardier had said earlier this year it was looking for buyers for the sprawling Downsview property, where it assembles the Q400 and several business jets.
3 min read · 03 May 2018
Stingray Digital Group Inc (TSX: RAY.A-.B) has agreed to acquire Newfoundland Capital Corp Ltd (NCC), the Dartmouth, Nova Scotia-based owner and operator of Newcap Radio. Stingray agreed to pay about $506 million, including debt. Members of the Steele Family, accounting for about 87 percent of NCC's outstanding shares, agreed to support the deal. Canadian pension fund manager Caisse de dépot et placement du Québec agreed to contribute $40 million to the funding. Stingray, a Montréal-based entertainment content provider and broadcaster that went public in 2015, said the acquisition will expand its operations into radio broadcasting.
10 min read · 02 May 2018
Orion Mine Finance has agreed to invest about $58 million (US$45 million) in Leagold Mining Corp (TSX: LMC), a Vancouver-based company focused on mid-tier gold production opportunities in Latin America. The proceeds are intended to support Leagold's acquisition of Brio Gold Inc, a Toronto-based mining company with gold-producing, development and exploration-stage properties in Brazil. The buy, announced earlier this year, implies an equity value for Brio of $314 million. Orion, a U.S. mining private equity firm, is expected to retain a 16 percent interest in Leagold with the deal's close.
5 min read · 02 May 2018
