Private Equity
Morgan Stanley, Barclays Plc and Royal Bank of Canada took the top spots advising Canadian mergers and acquisitions in 2016 as deals in the pipeline, power and utility sectors propelled deal volume to a nine-year high, Reuters reported. Deal value climbed 8.3 percent to US$250.7 billion last year, from 2015 levels, according to data released by Thomson Reuters.
2 min read · 05 January 2017
Tank Holding Corp has acquired the material handling subsidiary of Agri Plastics Group of Companies, a Stoney Creek, Ontario-based rotational molder. AP Material Handling, established in 1995, makes a broad product line of bulk containers designed to transport and store a wide array of materials. Tank, a U.S. rotational molder, said the acquisition will add to its product lines and help expand sales channels into new and existing markets. Founded in 2008 via a merger of Snyder Industries Inc and Norwesco Inc, Tank is owned by U.S. private equity firm Leonard Green Partners.
3 min read · 04 January 2017
Dexter, an affiliate of DexKo Global Inc, has acquired the heavy duty axle and suspension manufacturing assets of Ingersoll Axles, along with the light duty axle manufacturing assets of Standen's from IMT Group, a Canadian metal components producer. No financial terms were released. DexKo, a Detroit-based maker of trailer axle, brake and suspension assemblies and replacement parts, said the deal will strengthen its position in Canada and introduce the company to new markets. DexKo is owned by U.S. private equity firm the Sterling Group. It was formed last year through a merger of Dexter with AL-KO VT.
3 min read · 04 January 2017
Stingray Digital Group Inc (TSX: RAY.A-B) has agreed to acquire Classica, a pay TV channel for classical music, from Germany's Unitel GmbH & Co. KG. No financial terms were released. Stingray, a multi-platform music and in-store media solutions provider, said the deal will see Unitel continue to produce and deliver the programming for Classica, while giving Stingray access to 1,500 titles and 2,000 hours of content. Montréal-based Stingray raised $180 million in an initial public offering in 2015. It continues be a portfolio company of Canadian private equity firm Novacap and other investors.
5 min read · 04 January 2017
Hub International Ltd, a portfolio company of U.S. private equity firm Hellman & Friedman (H&F), has acquired Mainline Insurance Brokers Inc, an association of insurance brokers operating in Southeastern Saskatchewan. No financial terms were disclosed for the deal, which includes Mainline affiliates. Hub, a global insurance brokerage with significant operations in Canada, will integrate the acquired business with Hub Manitoba. Chicago-based Hub was bought by H&F for about US$4.4 billion in October 2013.
2 min read · 04 January 2017
Acasta Enterprises Inc (TSX: AEF) has closed its acquisitions of Toronto consumer staples companies Apollo Health & Beauty Care and JemPak Corp, as well as Irish aircraft leasing company Stellwagen Finance Co. The $1.1 billion round of deals was announced in November. Concurrent with the closing, Acasta completed a private placement offering that raised about $160 million from shareholders, new investors and founders. Acasta, a special purpose acquisition corporation (SPAC), plans to launch as a private equity firm this year.
3 min read · 03 January 2017
Canadian private equity firm Clairvest Group has sold its portfolio company Cieslok Media Ltd, a Toronto-based outdoor advertising business, to Bell Media Inc for an undisclosed sum. Clairvest, which partnered with Jörg Cieslok in a management buyout in 2013, said it realized cash proceeds equal to 7.8 times invested capital with the deal's closing. This could rise to 8.4 times invested capital with the resolution of certain post-closing matters, giving Clairvest an internal rate of return of 92 percent. Cieslok was Clairvest's first platform investment in the media space. Last year, Clairvest closed a second deal in the sector with its US$20.5 million investment in Digital Media Solutions.
3 min read · 03 January 2017
Canada's initial public offering (IPO) market turned in a "dismal" performance in 2016, according to a survey by PwC. October's $400 million offering by women’s fashion retailer Aritzia Inc, a portfolio company of Berkshire Partners, was one of only three new issues on the TSX last year and one of only eight new issues on all domestic exchanges, the survey found. Two other small TSX issues in 2016's final months brought the quarterly and annual tally for Canada's senior exchange to $464 million. PwC said 2016 was the worst year for Canadian IPOs in the nearly two-decade history of its survey, falling below the previous low-water mark set in 2008.
4 min read · 03 January 2017
TFI International Inc (TSX: TFII) recently acquired National Fast Freight (NFF), a Brampton, Ontario-based provider of small freight and truckload services in Canada. No financial terms were released. The seller was Calyx Transportation Group Inc, a Canadian transportation and logistics services company acquired in 2006 by U.S. private equity firm Wynnchurch Capital. TFI said the deal will increase its presence in the Canadian LTL intermodal services segment. Last year, Calyx sold the assets of Euroworld Transport Systems Canada Inc to Frontier Supply Chain Solutions Inc.
2 min read · 03 January 2017
GeoLOGIC systems Ltd, a portfolio company of U.S. private equity firm BV Investment Partners, has bought Canadian Discovery Ltd (CDL)'s well completions and frac database and related products. No financial terms were disclosed. GeoLOGIC, a Calgary provider of data and software decision support systems to the oil and gas industry, said the acquired assets will be integrated with its existing product offerings. BV acquired an equity stake in GeoLOGIC in October 2015. Calgary-based CDL is an independent energy information services company.
4 min read · 03 January 2017
