Private Equity
Ontario Teachers' Pension Plan has partnered with RedBird Capital Partners in an investment in Compass Datacenters LLC, a U.S. wholesale data centre developer. Financial terms were not disclosed for the deal, which was done in collaboration with the company's management team, including Founder and CEO Chris Crosby. Jane Rowe, senior managing director, private capital, at Ontario Teachers' said the investment will allow Compass to significantly advance its growth plan and maintain its focus on innovative customer solutions. Established in 2011, Compass has its headquarters in Dallas, Texas.
5 min read · 12 January 2017
Canadian private equity firm Onex Corp is exploring a sale of USI Insurance Services, hoping that a deal will value the U.S. insurance brokerage at as much as US$4 billion, including debt, sources told Reuters. A sale of USI would underscore the wave of consolidation sweeping the commercial property and casualty insurance market, which has not grown quickly enough to support the smaller brokerages, and has attracted buyout firms keen to cut costs. Onex is working with Bank of America Corp on an auction for USI, the sources said.
2 min read · 12 January 2017
Canadian private equity firm Stern Partners has acquired OUTtv, a Vancouver-based gay, lesbian, bisexual and transgender (LGBTQ) television network. No financial terms were disclosed for the deal, which saw Stern and new CEO Brad Danks buy a majority stake in the company from 10-year owner and CEO James Shavick. Shavick will remain chairman of the board. Shamsh Kassam, CFO of Stern, said the investor will "help build OUTtv to the next level." Founded in 2001, OUTtv's programming features a mix of drama, comedy, talk and movies. It commissions and produces original programming.
2 min read · 11 January 2017
Valeant Pharmaceuticals International Inc is selling its Dendreon cancer treatment business and three skincare brands for US$2.12 billion as the troubled Canadian drugmaker looks to reduce more than US$30 billion in debt, Reuters reported. The company is trying to regain investor confidence after its stock plunged over the past year amid disclosures that it worked secretly with a specialty pharmacy to boost sales of its medicines. Valeant's major shareholders include U.S. hedge funds, such as William Ackman's Pershing Square Capital Management.
2 min read · 11 January 2017
Brookfield Asset Management said it had submitted alternative proposals regarding its interest in buying bankrupt solar company SunEdison Inc's "yieldco", TerraForm Power IncReuters reported. Canada's largest alternative-asset manager said it would purchase all of TerraForm Power's outstanding shares for US$11.50 in cash for a total consideration of US$1.6 billion. It said it was open to raising the offer to US$12.50 per share in cash if it can also buy SunEdison's other "yieldco", TerraForm Global Inc. Brookfield is TerraForm Power's largest investor, with a 12.12 percent stake.
1 min read · 11 January 2017
Canada Pension Plan Investment Board has agreed to acquire a 48 percent stake in GlobalLogic Inc, a U.S. provider of digital product development services, from British private equity firm Apax Partners. No financial terms were released for the deal, which will see Apax retain an equal interest alongside CPPIB. San Jose, California-based GlobalLogic reports achieving a 20 percent-plus compound annual growth rate in the past three years. CPPIB Head of Direct Private Equity Ryan Selwood said the pension fund will help back the company's next phase of growth in the global software engineering services market. Apax acquired GlobalLogic in 2013.
5 min read · 11 January 2017
South East Construction, a.k.a Secon Holdings LP, has acquired Tundra Mechanical and Millwrighting Ltd, a Warman, Saskatchewan-based provider of mechanical and millwrighting services to several industries, including water treatment, waste management and agriculture. No financial terms were disclosed. The deal will give Secon, a multi-trade industrial and commercial construction company, access to a new Saskatchewan market segment. Esterhazy, Saskatchewan's Secon is majority-owned by Canadian private equity firm Mosaic Capital Corp. Mosaic acquired the company for $15.2 million in late 2014.
2 min read · 10 January 2017
Canadian oilfield services provider Savanna Energy Services Corp said it would open its books this week to potential suitors interested in a deal with the company, Reuters reported. Calgary-based Savanna said it also planned to explore strategic alternatives, which may include a sale of the company among other options. In November 2016, Canadian pension fund manager Alberta Investment Management Corp (AIMCo) agreed to provide Savanna with about $219 million in debt and equity financing.
1 min read · 10 January 2017
Canadian private equity firm Ardenton Capital Corp has closed an equity investment in Combat Networks Inc, an Ottawa-based network solutions integrator for enterprise, government and defense infrastructures. No financial terms were disclosed for the deal, which was announced by Osprey Capital Partners, an advisor to Combat. In a late 2016 release, James Livingstone, Ardenton's CEO, said the focus of the firm's partnership with Combat will be "to identify and pursue new opportunities to service and support the Canadian unified communications market." Combat was founded in 2001 and currently serves more than 200 customers.
2 min read · 10 January 2017
Canadian private equity firm Onex Corp has promoted Amir Motamedi to managing director. Motamedi joined Onex in 2006 and has focused on the firm's private equity investments in the business services sector. He has worked on numerous deals, including last October's US$3.55 billion acquisition of Clarivate Analytics. In his new position, Motamedi will be responsible for acquisitions and investment oversight from the firm's office in New York. Before joining Onex, Motamedi worked in the investment banking division of Goldman, Sachs & Co.
2 min read · 10 January 2017
