Private Equity
Fengate Real Asset Investments has closed its acquisition of three operating, fully-contracted solar assets from Canadian Solar Inc for an undisclosed amount. The acquired assets are solar farms located in Sault Ste. Marie, Ontario with a combined capacity of 59.8 MWac. Fengate, a Toronto investment firm focused on infrastructure, real estate and private equity opportunities, said the deal represents its largest power investment to date. The firm has a renewable energy portfolio that includes solar, wind, hydro and biomass projects in North America and the United Kingdom.
3 min read · 02 February 2017
Canadian private equity firm Novacap has sold its interest in Metro Supply Chain Group (Metro SCG), a third-party provider of logistics services in North America and Europe. No financial terms were released. Novacap sold the stake to LDC Logistics Holdings Inc, a diversified holding company and existing investor in Metro SCG. Novacap invested in Montréal-based Metro SCG in late 2005. Managing Partner Jacques Foisy said Novacap supported the company's growth with strategic, operational and financial contributions. He said his firm will explore co-investment opportunities with LDC in the future. Last year, Novacap closed its fourth industries fund at $470 million.
4 min read · 02 February 2017
Aveda Transportation and Energy Services Inc (TSX-V: AVE) has priced its previously-announced public offering of common shares, which is targeted to raise gross proceeds of $20 million to $25 million. Werklund Capital Corp, a Canadian private equity family office, has agreed to subscribe for up to $5 million. Calgary-based Aveda, a provider of oilfield hauling services and equipment rentals to the energy industry, said the offering's proceeds will be used for debt reduction, working capital and other priorities. Werklund invested in the company in 2010 and is its largest shareholder.
4 min read · 02 February 2017
U.S. private equity firm Orion Mine Finance Group is in talks to sell a portfolio of 87 mining royalty, streaming and offtake assets, Orion portfolio manager Douglas Silver said. He declined to comment on a sales price but sources told Reuters the portfolio could fetch as much as US$1 billion. The companies Orion is talking to include Toronto-based Franco-Nevada Corp, Vancouver-based Silver Wheaton Corp and Denver, Colorado-based Royal Gold Inc, the sources said. The portfolio includes 71 royalties, eight streams and eight offtake agreements on gold, silver, base metals and diamond assets spread across 16 countries.
2 min read · 01 February 2017
Ontario Teachers’ Pension Plan has promoted Tanya Carmichael to the role of managing director, global funds. Carmichael, who joined the pension fund from CIBC World Markets' private equity group in 2006, will be responsible for leading the global funds team. Her other current roles include chairing the Institutional Limited Partners Association's (ILPA) board of directors. Ontario Teachers' also promoted Gillian Brown to managing director, credit, insurance-linked securities and equity products, and Charles Thomazi to managing director, infrastructure, Europe, Middle East and Africa (EMEA).
3 min read · 01 February 2017
Alberta Investment Management Corp (AIMCo) has entered into a strategic financing partnership with Razor Energy Corp (TSX-V: RZE), a junior oil and gas development and production company based in Calgary. AIMCo agreed to provide Razor with a non-revolving term loan facility of $30 million. The proceeds were used to finance Razor's recent acquisition of oil and gas interests in the Swan Hills area of Alberta. They will also be used to support the company's development program and other priorities. As part of the deal, AIMCo secured about 10 percent of Razor's outstanding common shares.
3 min read · 01 February 2017
Activity in Canada's mergers and acquisitions (M&A) market is expected to rise in 2017, building on the strong trends exhibited last year, according to a new report by Citi in partnership with Mergermarket. A survey of 50 senior M&A practitioners found 66 percent believe deal-making will increase in the months ahead. Both inbound and outbound M&A are expected to drive activity, which will continue to focus on energy, industrials and financial services. 2017 trends will be influenced by an interest in the Asia-Pacific region, low oil prices, and a significant market role for corporate buyers, the survey found.
3 min read · 31 January 2017
Hayfin Capital Management LLP, a European private debt investment firm, has agreed to be acquired by British Columbia Investment Management Corp (bcIMC). No financial terms were disclosed, however, Sky News reported the deal's value to be about £215 million (US$268 million). The Canadian pension fund bought a majority stake in Hayfin from the company's founding shareholders: TowerBrook Capital Partners, PSP Investments, Ontario Municipal Employees Retirement System (OMERS) and Future Fund. London-based Hayfin, established in 2009, said bcIMC will commit "significant capital" to its managed funds and support its long-term growth.
2 min read · 31 January 2017
Mity Inc has acquired Holsag Canada, a Lindsay, Ontario maker of chairs and casegoods for the senior living, healthcare, education and hospitality markets. The purchase price was not disclosed. Mity, an Orem, Utah-based furniture products manufacturer, said the deal broadens its product offering and deepens the company's presence in multiple industries. The acquisition was backed by US$16 million in funding provided by Prospect Capital Corp, a U.S. private debt and equity firm. Prospect is Mity's controlling shareholder.
2 min read · 31 January 2017
CSX Corp is in early discussions with an activist investor over changes to its board and installing turnaround expert Hunter Harrison as the U.S. rail operator's CEO, sources told Reuters. CSX executives met with the activist, Paul Hilal of Mantle Ridge LP, and Harrison, the outgoing CEO of Canadian Pacific Railway Ltd, to discuss an agreement. Harrison's track record of cutting operating costs and driving up profitability at the helm of CP and at Canadian National Railway Co has helped CSX shares surge more than 30 percent since news of the Mantle Ridge plan surfaced. Mantle Ridge has raised more than US$1 billion for its CSX stake.
2 min read · 30 January 2017
