Private Equity
U.S. private equity firm Prospect Partners said it and other investors have sold their interests in Codel Entry Systems Inc, a Tacoma, Washington maker, marketer and distributor of exterior door entry systems, to Canada's Trimlite LLC. No financial terms were disclosed. Vancouver-based Trimlite is a manufacturer and distributor of stile and rail doors, fiberglass doors, decorative glass and other building products. It said in July it bought Codel in partnership with TriWest Capital Partners, a Canadian private equity firm. TriWest Capital Partners Fund V, which raised $500 million in 2015, acquired Trimlite last year.
3 min read · 20 September 2017
Canadian specialty food products company Premium Brands Holdings Corp (TSX: PBH) has acquired 100 percent of the shares of Leadbetter Foods Inc, an Orillia, Ontario-based maker of specialty bacon, fresh and frozen burgers and portion-cut steaks. No financial terms were released. Vancouver-based Premium Brands said the acquisition facilitates its goal of becoming a leading specialty protein platform in Ontario and complements its Belmont Meats' burger business, which was acquired last year. Premium Brands has been a portfolio company of Canadian private equity firm Pender West Capital Partners since 2005.
3 min read · 20 September 2017
A new study by the Business Development Bank of Canada (BDC) has found that 41 percent of owners of Canadian small and medium-sized enterprises (SMEs) are likely to leave within the next five years, which is up from the mid-2000s. Most are preparing to retire, with 52 percent expecting to sell or transfer SME interests outside the family. The study found owners preparing to exit are slowing down too soon, with most showing reluctance to take risks to improve performance or undertake growth. The result may be a sale below market value. As part of its recommendations, BDC said an advanced "staging" strategy may lead to more successful exits.
4 min read · 20 September 2017
Brookfield Business Partners (BBP), the listed affiliate of Brookfield Asset Management's private equity group, has launched a US$600 million equity offering. Of the total, US$400 million will be generated by BBP's issue of 6.7 million LP units and Brookfield's buy of 6.9 million REUs of BBP's holding vehicle. The Ontario Municipal Employees Retirement System (OMERS) will also be issued 6.7 million units, generating US$200 million. A greenshoe option may bring total proceeds to US$630 million. The funds raised will be used partly for recent deals and future opportunities. Brookfield last month partnered in a deal to acquire Toronto gaming assets.
4 min read · 19 September 2017
RNC Minerals (TSX: RNX), also known as Royal Nickel Corp, has entered into a US$4 million convertible term debt facility with Pala Investments, a Swiss mining private equity firm. Based in Toronto, RNC is focused on acquiring, exploring and developing base metal and precious metal properties. It said it will use the facility's proceeds for the on-going ramp-up of the Beta Hunt gold mine in Western Australia and other priorities. Earlier in 2017, RNC teamed up with Canadian private equity firm Waterton Global Resource Management to buy, develop and operate undervalued nickel assets.
3 min read · 19 September 2017
The European affiliate of Canadian spray foam insulation manufacturer Icynene Inc has acquired Isolat France, a French polyurethane insulation distributor. No financial terms were disclosed. Icynene said the deal reinforces its strategy to grow within the European market with direct sales to contractors. President and CEO Mark Sarvary said the company will continue to pursue growth in the regional market both organically and with targeted acquisitions. Established in 1986, Toronto-based Icynene was acquired in 2014 by U.S. private equity firm Friedman Fleischer & Lowe (FFL).
3 min read · 19 September 2017
BluEarth Renewables LP has acquired four operating renewable energy facilities from Veresen Inc, a Calgary-based energy infrastructure company. No financial terms were released for the deal, which saw BlueEarth pick up three run-of-river hydro facilities in British Columbia and one wind facility in Ontario. The company, a Calgary-based renewable power producer, said the acquisition brings its portfolio to more than $1.7 billion of facilities in operation and construction. BlueEarth is majority-owned by Ontario Teachers’ Pension Plan. In 2015, Ontario Teachers’ bought the BlueEarth stakes held by ARC Financial Corp and other investors.
2 min read · 19 September 2017
Monroe Capital LLC said it was the sole lead arranger and administrative agent on the funding of a US$26.3 million senior credit facility for American Optics Inc, a Canadian optics manufacturer. The deal helped to refinance the company's existing debt facility and finance an add-on acquisition. The buy was not disclosed; however, American Optics announced earlier this year it acquired U.S.-based Endoscopy Replacement Parts Inc. Toronto-based American Optics makes, assembles and distributes replacement components used in the repair of endoscopes. It is backed by DW Healthcare Partners (DWHP), a Canadian healthcare private equity firm.
2 min read · 19 September 2017
Brookfield Asset Management is considering increasing its offer for Renova Energia SA by 25 percent, in a bid to sway the two largest investors in the Brazilian renewable power company to exit their controlling stakes, sources told Reuters. Under terms of a revised bid, Brookfield would offer power utility Cia Energética de Minas Gerais SA and subsidiary Light SA 11.25 reais per unit of Renova, the sources said. Brookfield had originally submitted a bid valuing Renova at about 9 reais per unit. Brookfield would have to disburse about 1 billion reais (US$321 million) to win control under a revised bid. It could either pump an extra 800 million reais into Renova or take the company private.
2 min read · 19 September 2017
Landmark Cinemas Canada LP, a portfolio company of Canadian private equity firm TriWest Capital Partners, has agreed to be acquired by Kinepolis Group NV, a Ghent, Belgium-based cinema chain. No financial terms were released. Founded in 1965 with a single screen, Calgary-based Landmark currently operates 44 cinemas and a total of 303 screens throughout Western Canada, Ontario and the Yukon Territory. Acquired by TriWest in 2014, the company at the same time added to its portfolio assets bought from Empire Theatres. The latter deal, which was financed by TriWest, made Landmark Canada's second largest theatre exhibition company.
3 min read · 18 September 2017
