Private Equity
Solifor, a forest-land investment platform of Fonds de solidarité FTQ, has acquired Ste-Aurelie Timberlands, a 24,910-hectare forest property on the border of Maine and Québec. The investment, valued at $36 million, is Solifor's second outside of Québec. It will support Québec sawmills that utilize the Maine asset. Founded in 2005 to buy and manage privately-owned forest land, Solifor has to date invested $200 million in almost 200 hectares of property, most of it located in Québec's Bas-Saint-Laurent, Lotbinière, Charlevoix, Saguenay, Portneuf, Mauricie and Abitibi regions.
2 min read · 13 October 2017
Canada’s Metro Inc said it would sell a major portion of its stake in Alimentation Couche-Tard Inc to fund its $4.5 billion acquisition of pharmacy chain Jean Coutu Group Inc, Reuters reported. The company will sell its stake in three separate deals for about $1.5 billion. About 11.4 million Couche-Tard shares will be sold to dealers led by National Bank Financial and BMO Capital Markets as book-runners to raise $650 million, while an equal portion will be sold to the units of Caisse de dépôt et placement du Québec. Metro also said it would sell about 4.4 million shares back to Laval, Québec-based Couche-Tard for about $250 million.
1 min read · 12 October 2017
Canada Pension Plan Investment Board has agreed to partner with two affiliates of Singapore's Keppel Corp Ltd to invest up to US$350 million alongside the Alpha Data Centre Fund (ADCF). The fund, which is managed by Keppel Capital, the group's investment arm, aims to develop a portfolio of new and existing data centre assets in the Asia Pacific region and Europe. CPPIB's commitment agreement includes the option of an additional US$150 million. When ADCF is fully invested, it is expected to oversee about US$2.3 billion in data centre assets.
5 min read · 12 October 2017
Innova Global Ltd has bought the shares of Braden, a gas turbine auxiliary equipment specialist, from U.S.-based Global Power Equipment Group. Terms weren't disclosed for the acquisition, which includes Braden Manufacturing, Consolidated Fabricators and Braden-Europe. Innova, a Calgary-based provider of emissions and noise control solutions, said the deal will expand its reach into markets in Europe, China, the Middle East and North Africa. Innova was acquired by Canadian private equity firm TriWest Capital Partners in 2015. Earlier this year, the company acquired the intellectual property assets of Express Integrated Technologies.
4 min read · 12 October 2017
A group of investors, including U.S. buyout firm Apollo Global Management and Canada Pension Plan Investment Board (CPPIB), is bidding for coal assets put up for sale by global mining giant Rio Tinto Group, which could fetch US$2 billion, sources told Reuters. The sale, run by Credit Suisse, of the Kestrel and Hail Creek coking coal mines is part of Rio’s planned exit from Australian coal to focus on iron ore, copper and aluminum. Apollo and CPPIB have joined forces with U.S. coal company Xcoal Energy & Resources and a former Glencore executive to bid for the assets, two sources said. Interested parties have been invited to submit tentative offers by December 8.
2 min read · 12 October 2017
A consortium led by European private equity firm BC Partners has agreed to acquire CeramTec Group, a Plochingen, Germany-based supplier of advanced ceramic products. Canadian pension funds Public Sector Pension Investment Board (PSP Investments) and Ontario Teachers' Pension Plan hold a stake in the consortium. The deal's financial terms were not disclosed; however, a source told Reuters it values the company at 2.6 billion euros (US$3.1 billion), including debt. CeramTec is being sold by Cinven, which acquired it in 2013. BC Partners' Stefan Zuschke said the consortium sees potential in growing CeramTech organically and through acquisitions.
5 min read · 11 October 2017
City Wide Towing & Recovery Service Ltd recently acquired Capital Towing and Recovery Inc, a Sherwood Park, Alberta-based provider of towing and recovery services. No financial terms were released for deal, which saw Devon Poole, founder of Capital Towing, join City Wide. The add-on, which follows the March acquisition of Key Towing & Storage (Alberta) Ltd, represents a next step in City Wide becoming a "leading national company," CEO Rob Voelk said. Calgary's City Wide is backed by Canadian private equity firm Signal Hill Equity Partners. Signal Hill Equity Partners III, which raised $142 million in 2015, invested in the same year.
2 min read · 11 October 2017
Sears Canada Inc will seek court approval to liquidate all its remaining stores and assets after the 65-year-old retail chain failed to reach an agreement to continue to operate, Reuters reported. Sears Canada has lost market share and struggled to remain relevant to shoppers who have switched to stores that keep up with fast-changing fashion trends. Its sales have fallen every quarter since it was spun off from Sears Holdings Corp in 2012. The company had been in negotiations with Executive Chairman Brandon Stranzl, who stepped away from day-to-day operations to come up with a proposal to keep the company afloat. The Wall Street Journal reported last month that Stranzl was negotiating a private-equity backed deal that could be valued at more than $650 million (US$533 million).
2 min read · 10 October 2017
Caisse de dépôt et placement du Québec has partnered with CKD Infraestructura México (CKD IM) to acquire 80 percent of a portfolio of eight wind and solar assets in Mexico owned by Enel Green Power SpA. The deal is valued at US$1.35 billion. It will see Enel, an Italian renewable energy business, continue to operate the portfolio and hold a 20 percent interest. The acquisition is one in a series undertaken since 2015 by the Caisse in partnership with CKD IM, a consortium of Mexican pension and infrastructure fund managers.
5 min read · 10 October 2017
Toronto-based mining company Dalradian Resources Inc (TSX: DNA) has struck a private placement and warrant exercise agreement that will generate about $84.75 million in funding. Of the total amount, $50 million will be invested by Orion Mine Finance Group, a U.S. mining-focused private equity firm. With the transaction's completion, Orion will own about 9.75 percent of the company's issued and outstanding shares. Dalradian, which is focused on developing its Curraghinalt Gold Project in Northern Ireland, said it will use the proceeds for working capital purposes.
4 min read · 10 October 2017
