Private Equity
Xplornet Communications Inc has acquired YourLink, a provider of high-speed wireless Internet to rural and remote communities in Saskatchewan, from Vecima Networks Inc. Financial terms were not disclosed. Xplornet, a pan-Canadian rural Internet service company, said the deal will expand its fixed wireless broadband footprint in Saskatchewan. Based in Woodstock, New Brunswick, Xplornet has been a portfolio company of U.S. private equity firm Catalyst Investors and Canadian firm Werklund Capital Corp since 2010.
2 min read · 09 January 2017
Canadian private equity firm Fulcrum Capital Partners has made an equity investment in Vitalus Nutrition Inc, an Abbotsford, British Columbia supplier of specialty cream and milk protein ingredients for the food, beverage, and nutraceutical industries. No financial terms were released. Fulcrum said the deal will support key growth initiatives. They include expansion of the company's milk protein concentrate production capabilities, development of a process to produce a proprietary prebiotic fibre, and construction of a Winnipeg facility for production of dairy ingredients. Vitalus is the sixth platform deal of Fulcrum Capital Partners V, which raised $344 million in 2015.
2 min read · 09 January 2017
Canadian private equity firm Onex Corp is nearing a deal to acquire Ferrara Candy Co, potentially valuing one of the largest U.S. makers of non-chocolate confectionary at close to US$1.3 billion, including debt, sources told Reuters. Onex has prevailed in an auction for Ferrara and is now negotiating final terms with its owner, U.S. private equity firm L Catterton, the sources said. The deal would be a big bet for Onex on Ferrara's increasing clout and pricing power in the seasonal candy market.
2 min read · 09 January 2017
Neiman Marcus Group LLC said on Friday it would withdraw its initial public offering, nearly two years after the upscale department store chain filed its intent with U.S. regulators to go public, as it grapples with weaker customer demand, Reuters reported. Neiman Marcus, which also operates the Bergdorf Goodman and MyTheresa brands, was acquired by U.S. private equity firm Ares Management LP and Canada Pension Plan Investment Board three years ago for US$6 billion. The Dallas-based company filed to go public in August 2015.
2 min read · 06 January 2017
DW Healthcare Partners (DWHP) has promoted Aly Champsi to managing director and partner. Champsi, who joined DWHP in April 2014, will be responsible for overseeing due diligence, structuring and execution of the firm's healthcare private equity investment opportunities from its Toronto office. He joined DWHP from Canadian private equity firm Clairvest Group, where he served as a principal. DWHP, which also has an office in Park City, Utah, last month partnered in the acquisition of Edge Systems LLC.
2 min read · 06 January 2017
National Bank of Canada was the top adviser on Canadian debt issues for corporations and governments in 2016, ending Royal Bank of Canada's 10-year reign, Reuters reported, citing data from Thomson Reuters. The value of debt issues rose 1 percent to $163.6 billion last year, excluding self-led issuance by banks, from about $162.3 billion in 2015. While 2016 started off slowly with increased volatility and sluggish credit markets, deals started to gain momentum from the second quarter.
2 min read · 06 January 2017
North American Substation Services LLC (NASS), a portfolio company of U.S. private equity firm Industrial Growth Partners (IGP), has acquired Nomos Systems Inc, a Québec City-based manufacturer of control cabinets for high-voltage electrical equipment, including transformers and breakers. NASS, a provider of mission-critical installation, maintenance and repair services for substation equipment, said the deal will broaden its service and product offering and deepen its relationships with utility customers. IGP acquired Altamonte Springs, Florida's NASS in December 2014.
2 min read · 05 January 2017
ATX Networks Corp, a Canadian portfolio company of U.S. private equity firm HIG Capital, has acquired Pico Digital Inc, a San Diego, California maker of distribution and customer premise equipment for satellite providers, cable companies and radio customers. No financial terms were released. Toronto-based ATX, a provider of video and broadband equipment solutions, said the deal will support its growth in the commercial video solutions business, and facilitate its entrance into the satellite and radio markets. ATX was acquired by HIG in mid-2015. Last September, the company bought InnoTrans Communications Inc.
4 min read · 05 January 2017
The value of Canadian equity issues rose to an all-time high in 2016, driven by large deals in the energy and mining sectors, Reuters reported, citing data released by Thomson Reuters. Equity issues increased nearly 19 percent last year to $51.2 billion, breaking the previous high of $49.4 billion in 2009. The top advisers for 2016 were Toronto-Dominion Bank, Royal Bank of Canada, Bank of Montreal, Canadian Imperial Bank of Commerce, Bank of Nova Scotia and National Bank of Canada.
2 min read · 05 January 2017
Canadian private equity firm Novacap has wrapped up its sale of Oxford Networks, a U.S. fibre-optic bandwidth infrastructure services provider, to Oak Hill Capital Partners. The financial terms of the deal, announced last July, were not disclosed. Novacap acquired a majority stake in Oxford in 2014. Ted Mocarski, a senior partner at Novacap, said the company has more than doubled its revenue and profitability over the past two years. With the deal's closing, Oxford will be combined with FirstLight Fiber, which Oak Hill bought from Riverside Partners. Novacap, Bank Street Capital Partners and Riverside will invest in the new business as minority shareholders.
3 min read · 05 January 2017
