Private Equity
Ardent Health Services and LHP Hospital Group Inc have agreed to merge. No financial terms were disclosed for the deal, which is expected to close in early 2017. With the close, the new business will be the second largest private, for-profit hospital operator in the United States with 19 hospitals in six states. Equity financing for the merger will be provided by Ardent's owner, Equity Group Investments. Plano, Texas-based LHP, established to provide capital and expertise to not-for-profit hospitals and hospital systems, is backed by Canada Pension Plan Investment Board (CPPIB) and CCMP Capital Advisors.
4 min read · 06 October 2016
Canadian oil and gas company Velvet Energy Ltd has closed a private placement of US$125 million of senior secured second lien notes. Affiliates of FS Investments, GSO Capital Partners and CI Investments were the source of the financing, the proceeds of which will be used by Velvet to pay down debt and expand its Edson Ellerslie development program. The company also plans to draw $30 million on its private equity line to advance exploration initiatives. Last year, Calgary-based Velvet secured an additional $100 million commitment from its backers, Warburg Pincus, Trilantic Capital Partners and ZAM Ventures.
4 min read · 06 October 2016
Britain's SVG Capital Plc accepted an offer from Goldman Sachs Group Inc and the Canada Pension Plan Investment Board (CPPIB) on Thursday saying it gave shareholders a better return than a hostile bid from U.S. private equity rival HarbourVest, Reuters reported. SVG said Goldman Sachs and CPPIB would pay about 748 million pounds (US$950 million) for its investment portfolio which would allow it to return 1.06 billion pounds to shareholders once net cash was included.
2 min read · 06 October 2016
British private equity firm SVG Capital Plc said it received a proposal from a consortium that included Goldman Sachs Group Inc and the Canadian Pension Plan Investment Board to acquire its investment portfolio, Reuters reported. SVG, which is fending off a US$1.35 billion bid from U.S. rival HarbourVest, said it was "urgently" evaluating the proposal. The statement comes a day after SVG said it would sell half of its investment portfolio for US$483.11 million and wind down operations by the end of 2017.
2 min read · 05 October 2016
U.S. private equity firm HIG Capital has acquired Dominion Colour Corp (DCC) a Toronto-based designer, developer and maker of colour pigment solutions and preparations for the coatings, plastics and specialty ink industries. No financial terms were disclosed. Founded in 1946, DCC provides its pigment solutions to more than 400 customers in 70 countries. HIG Capital Managing Director Keval Patel said the firm plans to work with DCC's management team to further expand its product portfolio, organically and through acquisitions. Mark Vincent, who was previously the company's executive vice president, will now lead DCC as CEO.
3 min read · 05 October 2016
The Canadian branch of PNC Bank N.A. has provided a $17.1 million financing package to Doxim Solutions ULC, a Markham, Ontario-based provider of SaaS customer engagement solutions for banks, credit unions and wealth management firms. The package included a $1.9 million senior secured revolver with a $15.2 million senior secured term loan. The company will use the funds to refinance existing debt and for working capital. Doxim has been majority-owned by U.S. private equity firm Strattam Capital since late 2014.
2 min read · 04 October 2016
Kinderhook Industries has sold its interest in Rizzo Environmental Services Inc to GFL Environmental Inc. The undisclosed deal, previously announced by Toronto-based GFL, saw Rizzo folded into GFL's U.S. subsidiary. Sterling Heights, Michigan's Rizzo is a specialist in municipal, commercial and industrial solid waste collection and in commercial recycling processing and brokerage. Kinderhook, a U.S. private equity firm, acquired the company in September 2012. GFL, an environmental services company, is backed by several investors, including U.S. private equity firm HPS Investment Partners.
3 min read · 04 October 2016
Ranir LLC has acquired Toronto's BrushPoint Innovations Inc, a maker of manual and power toothbrushes. No financial terms were released. Ranir, a Grand Rapids, Michigan-based maker of store-brand, private-label consumer oral care products, said the combination of the two companies provides for a more robust offering of products and services, enhanced manufacturing capabilities, and a broader distribution reach. Ranir is backed by U.S. private equity firms Beringea, Camden Partners and Linden, as well as other investors.
3 min read · 04 October 2016
Canadian alternative equity firm Alaris Royalty Corp has repurchased its investment in Solowave Designs LP, a Mount Forest, Ontario-based designer and maker of outdoor living products. The repurchase, which provided Alaris with proceeds of $44.6 million, resulted after Solowave sold its children's play division, which represents most of its earnings. Alaris, which has backed Solowave since late 2010, said it earned a total return of $33.5 million, and an internal rate of return of about 17 percent. Earlier this year, PE Hub Canada reported on Alaris' exit from LifeMark Health.
8 min read · 04 October 2016
Canadian women’s fashion retailer Aritzia Inc (TSX: ATZ), a portfolio company of U.S. private equity firm Berkshire Partners, has completed its initial public offering (IPO). Aritzia sold 25 million subordinate voting shares, raising total gross proceeds of $400 million. An additional $60 million may be raised if an over-allotment option granted to underwriters is exercised. The IPO's proceeds will go to selling shareholders, including Berkshire, which acquired Vancouver-based Aritzia in late 2005.
5 min read · 04 October 2016
