Private Equity
Gates Corp has acquired Atlas Hydraulics Inc, a Brantford, Ontario-based specialist in the design, manufacture and supply of hydraulic tube and hose assemblies. No financial terms were disclosed. Founded in 1979, Atlas Hydraulics serves agricultural, turf, construction, forestry and other industrial equipment manufacturers. Denver, Colorado-based Gates said the acquisition enhances its position in the fluid power market. Gates is a portfolio company of U.S. private equity firm Blackstone Group. Blackstone bought the business from Onex Corp and Canada Pension Plan Investment Board in 2014 for US$5.4 billion.
2 min read · 03 October 2017
Canadian private equity firm KV Private Equity has acquired Off Grid Trailers, a Blackfalds, Alberta-based producer of rugged off-road expedition and teardrop trailers sold across Canada and the United States. No financial terms were released for the deal, which KV Private Equity is doing in partnership with General Manager Mark Badgerow. The investment is the second made by KV Private Equity Fund, which in May backed Northern Lite Manufacturing Ltd. Based in Edmonton, KV Private Equity invests in lower mid-market operating companies in Western Canada.
2 min read · 03 October 2017
U.S. private equity firm CCMP Capital Advisors has agreed to sell additional common shares of Jamieson Wellness Inc (TSX: JWEL), a Canadian vitamin maker that went public in July. CCMP will sell 8.1 million shares for 18.50 per unit. Together with a concurrent secondary sale, the gross proceeds will be about $150.2 million, not including the offering's greenshoe option. CCMP, which acquired Jamieson in 2014, will as a result reduce its stake from 39.2 percent to 17.7 percent, or 14.4 percent if the greenshoe option is exercised in full. As reported by PE Hub Canada, CCMP earned 3x its invested capital from Jamieson's initial public offering.
4 min read · 02 October 2017
Canadian pension fund OMERS and U.S. private real estate investment firm Madison International Realty are acquiring Berlin’s landmark property Sony Center from Korea’s national pension fund NPS for 1.1 billion euros (US$1.3 billion), Reuters reported. The eight buildings at Berlin’s central square Potsdamer Platz include BahnTower, the headquarters of national railway company Deutsche Bahn AG, as well as office and retail space. Ontario Municipal Employees Retirement System (OMERS) will acquire the property through its Oxford Properties unit, which recently invested in Paris’ La Defense district and after the Berlin deal will have 2.3 billion euros in continental European investments. Most of its other assets are located in London.
1 min read · 02 October 2017
Canadian apparel company Roots Corp has set a price range of $14 to $16 per share for its planned Toronto initial public offering, seeking to raise about $200 million, according to a term sheet of the deal seen by Reuters. Roots, known for its trademark beaver logo, rustic casual wear and Canadian-made leather goods, is expected to price the IPO in the week of October 16. But investors hoping for Roots to score another high-flying IPO debut like its bigger counterpart Canada Goose Holdings Inc may be in for a disappointment, given the company's more modest growth and broader retail challenges. Roots is a portfolio company of U.S. private equity firm Searchlight Capital Partners, which acquired a controlling stake in 2015.
2 min read · 02 October 2017
Fonds de solidarité FTQ has provided a $50 million loan to Héroux-Devtek Inc, a Longueuil, Québec-based specialist in the design, manufacture, testing and repair of landing gear and actuation systems for the aerospace market. The loan's proceeds will support the acquisition of Compañia Española de Sistemas Aeronauticos SA (CESA), a Spanish affiliate of Airbus SE. The CESA deal, also announced today, reflects a purchase price of about $205 million. In a separate statement, Héroux-Devtek said the buy will increase its European presence, expand its product and service offering, and gain content on key aircraft programs and customers.
2 min read · 02 October 2017
Asia’s biggest warehouse operator, Global Logistic Properties, agreed to acquire European logistics platform Gazeley for about US$2.8 billion, marking its first push into Europe and underscoring consolidation in the buoyant sector, Reuters reported. GLP said the properties, owned by funds affiliated with Canada's Brookfield Asset Management, were spread across four countries and comprised 32 million square feet (3.0 million square metres) of total gross leasable area. Singapore-listed GLP, which has a US$42 billion portfolio of assets across China, Japan, Brazil and the United States, is benefiting from rising demand for logistics facilities driven by a boom in e-commerce. Toronto-based Brookfield acquired Gazeley in 2013 from an affiliate of Dubai World.
2 min read · 02 October 2017
Cia Energética de Minas Gerais SA and a subsidiary plan to exit their controlling stake in Brazilian renewable power company Renova Energia SA as Brookfield Asset Management considers raising a takeover bid more than initially expected, sources told Reuters. According to the sources, Brookfield would offer Cemig and subsidiary Light SA the equivalent of 11.75 reais (US$3.72) per unit of Renova. Getting the nod from both Cemig and Light would enable Canada-based Brookfield to take control of Renova more assertively and expand faster in Brazil’s renewable power industry. If the improved proposal materializes into a formal bid, Brookfield would spend about 1.05 billion reais (US$332.3 million) to win control of Renova. Brookfield could either pump an extra 800 million reais into Renova or take the company private, Reuters reported on September 8.
2 min read · 02 October 2017
Tricor Pacific Founders Capital has acquired a controlling interest in Armand Agra Inc and its affiliates, Sierra Meat and Seafood Co, a Reno, Nevada processor of meat and seafood products, and Flocchini Family Provisions, a Carson City, Nevada maker of gourmet sausages and deli meats. No financial terms were released. Tricor Founders, a Canadian family office, bought the business from the Flocchini family, who will retain partial ownership. Armand Agra will be held by Tricor Founders' specialty protein platform. Managing Director Derek Senft, who led the deal, said his firm will support the company's continued growth, in part via acquisitions.
4 min read · 02 October 2017
Valeant Pharmaceuticals International Inc (TSX, NYSE: VRX) has wrapped up the sale of its iNova Pharmaceuticals affiliate to Australasian private equity firm Pacific Equity Partners and U.S. private equity firm Carlyle Group. The deal, announced in June, reflected a purchase price of US$930 million in cash. Valeant acquired iNova in 2011 from Archer Capital and Ironbridge Capital for about US$623 million. The Laval, Québec-based specialty pharmaceutical company decided to sell the business to pay down debt.
2 min read · 29 September 2017
