Private Equity
The province of Ontario said that it has signed an agreement with U.S. private equity firm Bedrock Industries LP to restructure U.S. Steel Canada, but the deal still requires approval from other stakeholders and a Canadian court, Reuters reported. Financial terms were not released. Under the agreement, Bedrock will purchase and continue operating U.S. Steel Canada's plants in Hamilton and Nanticoke, one source said. The company, which has the capacity to produce 2.6 million tons of steel annually, has been in creditor protection since September 2014.
2 min read · 21 September 2016
The Kenan Advantage Group Inc, a portfolio company of OMERS Private Equity, has acquired Agri-Carriers Group Inc (ACG), a Jackson, Illinois-based provider of food-grade transportation services. The deal, the terms of which were not disclosed, includes ACG's two trucking operations, Landes Trucking and Charles G. Lawson Trucking. Kenan, a tank truck transporter and logistics specialist, said the acquisition is a strategic fit that doubles the size its food transportation business. North Canton, Ohio-based Kenan was bought by OMERS from Goldman Sachs Capital Partners and Centerbridge Partners last year.
2 min read · 20 September 2016
Calgary energy producer InPlay Oil Corp, a portfolio company of Canadian private equity firms JOG Capital and Sprott Resource Corp, has agreed to combine with Anderson Energy Inc (TSX: AND). The deal will entitle InPlay and Anderson shareholders to receive equity in the new company, also called InPlay Oil Corp. With the deal's closing, JOG's Donald Cowie, Sprott Resource's Steve Yuzpe and other investor representatives will serve on the new board. InPlay also announced its buy of Cardium light oil assets in Alberta's Pembina region for $47 million. It plans to use the proceeds of a $70 million private placement offering to fund the acquisition and other priorities.
10 min read · 20 September 2016
Livingston International Inc has acquired Affiliated Customs Brokers Ltd, a Canadian customs brokerage and freight forwarding specialist with operations across North America. No financial terms were released. Toronto-based Livingston, a provider of customs brokerage, transportation and logistics services, said the deal will strengthen its offerings in both Canada and the United States, adding particular strength in the Québec market. Livingston is a portfolio company of Canada Pension Plan Investment Board and U.S. private equity firm Sterling Partners. The latter took the company private for $324 million in January 2010.
2 min read · 19 September 2016
South Africa's Naspers is set to receive at least four bids for Allegro in a deal that could value Eastern Europe's No.1 auction website at up to US$2.2 billion, sources familiar with the talks told Reuters. The four bidders are expected to submit offers for "the Polish eBay" ahead of a Tuesday deadline for first-round bids. The sources said Advent International had teamed with U.S. private equity fund Hellman & Friedman; Apax Partners with Canada Pension Plan Investment Board; Cinven with Permira; and CVC Capital Partners with U.S. buyout group General Atlantic.
2 min read · 19 September 2016
Canadian holding company Namakor Holdings, the Québec Manufacturing Fund (QMF) and the Caisse de dépôt et placement du Québec have acquired all outstanding shares of Groupe Graham International (GGI). No financial terms were disclosed. Based in Lachine, Québec, GGI specializes in the design, engineering and manufacturing of customized electro-mechanical assemblies used in a range of industries. Eric Saint-Jacques has been tapped as the company's new chief executive. The partnership with Namakor, QMF and long-standing investor the Caisse is intended to support GGI's international growth plan.
4 min read · 19 September 2016
Onex Credit Partners LLC, the credit investment arm of Canadian private equity firm Onex Corp, has priced its 12th collateralized loan obligation (CLO) offering at about US$560 million. The transaction will be issued by a newly formed special purpose vehicle backed by a diversified portfolio of broadly syndicated leveraged loans. Onex has committed to buy and hold a majority of the equity for the life of the deal. With the close of the offering, the credit group will manage about US$7.5 billion.
3 min read · 19 September 2016
Calgary's Seven Generations Energy Ltd has acquired a minority interest in Steelhead LNG, a Vancouver energy company focused on developing liquefied natural gas (LNG) projects in British Columbia. No financial terms were released. The investment was part of an agreement struck between the two companies to explore new midstream supply chain infrastructure that would link natural gas resources to Steelhead LNG's proposed export facilities. Steelhead LNG is backed by Canadian energy private equity firm Azimuth Capital Management (formerly KERN Partners). Canada Pension Plan Investment Board is the largest investor in Seven Generations.
6 min read · 19 September 2016
The Caisse de dépôt et placement du Québec is about to take on one of its toughest investment challenges yet — helping the commuters of Montréal, Reuters reported. Keen to boost returns, Canada's second-biggest pension fund is financing and overseeing the construction of a new 67 kilometre (41.6 miles) public transit system in Montréal , the third largest automated transportation system in the world behind those in Dubai and Vancouver. The venture is a bold move by the Caisse — more familiar with bond prices and rental yields than ticket fares and commuter habits — and one fraught with risks.
5 min read · 19 September 2016
U.S. private equity firm Audax Private Equity has wrapped up its sale of Laborie Medical Technologies Inc, a Mississauga, Ontario-based provider of medical devices for urological, pelvic health and gastrointestinal applications. The previously-announced deal, the terms of which were undisclosed, saw the company go to Patricia Industries, an affiliate of Sweden's Investor AB. Audax acquired Laborie in July 2012 and helped it achieve "a market-leading position in urology and a rapidly growing gastroenterology business," Audax Managing Director Young Lee said.
3 min read · 19 September 2016
