Canada

Québec investors and Marcel Dutil to take Manac private in $186 mln deal

Manac Inc (TSX: MA), a Canadian manufacturer of specialty trailers, has agreed to be bought by an investor group made up of Marcel Dutil, the company's founder, the Caisse de dépôt et placement du Québec, Fonds de solidarité FTQ, Investissement Québec and Fonds Manufacturier Québécois. The transaction values Manac at $186 million, including debt. The take-private acquisition follows a strategic review process launched in March. It will be put before shareholders by early October. U.S. private equity firm American Industrial Partners and other shareholders, including two members of the investor group, have agreed to vote their shares in favour. Founded in 1966, the company is based in Saint Georges, Québec.

CC&L Infrastructure-backed vehicle invests in Regina Bypass Project

Connor, Clark & Lunn GVest Traditional Infrastructure LP, a partnership between Connor, Clark & Lunn Infrastructure (CC&L Infrastructure) and Gracorp Capital Ltd, recently made an equity investment in the Regina Bypass Project. The project is a $1.88 billion initiative to design, build, finance, operate and maintain a four-lane highway in the immediate vicinity of Regina, Saskatchewan. The partnership is part of Regina Bypass Partners, a joint venture that includes affiliates of Graham Group Ltd, VINCI Construction SAS and Parsons Corp. Construction of the project is expected to be completed by late 2019.

Apax-owned security services company Garda explores sale: Reuters

Garda World Security Corp, a security services business that provides armoured transportation and guards, is exploring a sale that could value it at more than $3 billion including debt, people familiar with the matter told Reuters. Montréal-based Garda is owned by British private equity firm Apax Partners and its founder Stéphan Crétier, which together took the company private in 2012 for $1.1 billion.

HKW-backed GMD grows patient support footprint with Adjuvantz deal

GMD Distribution Inc, the logistics arm of GMD PharmaSolutions, has acquired Adjuvantz Inc, a provider of patient support programs for therapeutic disciplines with headquarters in Toronto. The financial terms of the deal were not released. Based in Oakville, Ontario, GMD specializes in the management and distribution of pharmaceuticals, biological and medical devices in Canada. Earlier in 2015, U.S. private equity firm Hammond Kennedy Whitney & Co (HKW) recapitalized the company's two divisions, including GMD Distribution, and said it would support GMD's expansion plans.

Kraft Heinz to cut 2,500 jobs in U.S. and Canada: Reuters

Kraft Heinz Co said it will eliminate 2,500 jobs in the United States and Canada, Reuters reported. Heinz, backed by Berkshire Hathaway Inc and Brazilian private equity firm 3G Capital, known as an aggressive cost-cutter, combined with Kraft in March in a US$46 billion deal that created the third-largest North American food company.

Brookfield completes $150 mln preferred equity investment in GrafTech

The private equity group of Brookfield Asset Management has completed its acquisition of US$150 million of convertible preferred shares of GrafTech International Ltd (NYSE: GTI), a U.S.-based producer of graphite material solutions for various industries and end markets, including steel manufacturing. The investment gives Brookfield a minority interest in the company, as well as two seats on the board of directors, one of which will be filled by Managing Partner Peter Gordon. As reported by peHUB Canada earlier this year, Brookfield has also proposed to buy all of GrafTech’s outstanding common shares. The US$840 million offer will expire this week.

Riverstone's Meritage Midstream Services to open office in Calgary

Meritage Midstream Services III LP, a partnership backed by U.S. private equity firm Riverstone Holdings, plans to soon open its Canadian office in Calgary. The office will be led by energy industry veteran Michael Hantzsch, who has been hired as senior vice president, Canada. Meritage, which has entered into an agreement with Canadian International Oil Corp to build local crude oil and natural gas infrastructure, received a US$300 million commitment from Riverstone in April. The partnership is focused on midstream opportunities in Western Canada.

Resource Capital Funds' TMAC wraps up IPO with $155 mln raise

TMAC Resources Inc, a portfolio company of U.S. private equity firm Resource Capital Funds (RCF) and other investors, has completed its previously-announced initial public offering (IPO), giving TMAC a Toronto Stock Exchange listing under the symbol "TMR". The offering, which was targeted to raise $135 million in gross proceeds, brought in $155.1 million in total, which accounts for an over-allotment purchase option granted to underwriters. The IPO's net proceeds will be used in part to fund development of the Toronto-based company’s Hope Bay gold project in Nunavut. The project is scheduled for initial production in December 2016.

Johnson Electric to buy Crestview Partners-backed Stackpole for $800 mln

Hong Kong's Johnson Electric Holdings Ltd has agreed to acquire Stackpole International, a Canadian manufacturer of engine and transmission pumps and powder metal components for the global automotive market. The total consideration payable by Johnson is $800 million in cash, which may rise to $867 million due to transaction additions and adjustments. Stackpole's high-yield debt will be retired in conjunction with the deal, which is expected to close in the fourth quarter of 2015. The company is being sold by an investor group led by U.S. private equity firm Crestview Partners. Crestview and CITIC Capital bought Stackpole from Sterling Group and Current Capital in October 2013. It was carved out of Gates Canada in 2011.

Buyer of PE-backed Noranco to be acquired by Berkshire Hathaway

Precision Castparts Corp (NYSE: PCP), which recently agreed to buy Canadian aerospace platform Noranco Inc, has entered into an agreement to be acquired by Berkshire Hathaway Inc (NYSE: BRK.A; BRK.B) for US$235 per share in cash. The deal, which is expected to close in early 2016, is valued at about US$37.2 billion, including net debt. In July, Precision, a U.S. manufacturer of metal components and products for aerospace, power and industrial markets, said it would buy Noranco for US$560 million. The pending deal will provide exits to U.S. private equity firm MidOcean Partners and Canadian pension fund manager PSP Investments, which bought Noranco in 2013.