Value Unleashed

Seventy Canadian M&A transactions closed this past week. Year to date, M&A closed deal count is 3.8% lower than the comparable period in 2017. The Canadian dollar appreciated by 0.78 cents, ending the week at 77 cents. The TSX underperformed the S&P 500 by 0.6% in U.S. dollar terms. WTI crude oil rose by 1.9%, ending the week at $68.67 per barrel.

According to the Lead Left, primary yields have widened across the board in 3Q18. The average first-lien institutional term loan yield, assuming a three-year term to repayment is 6.41% so far this quarter, up from 5.77% in 2Q18.

Canadian M&A Transactions[i]

Materials (Closed)

Siegwerk Druckfarben has Acquired Encres Ultra

Siegwerk Druckfarben AG & Co. KGaA, a German developer, manufacturer, and supplier of printing ink solutions for customers worldwide, has acquired Encres Ultra Inc., a Canadian manufacturer of ink and coatings. No transaction terms were released.

Industrials (Closed)

Dryvit Systems has Acquired NUDURA

Dryvit Systems Inc., a U.S.-based manufacturer and supplier of exterior insulation and finish systems in North America, has acquired NUDURA Corporation, a Canadian manufacturer of insulated concrete form products and accessories for residential, commercial, medical, educational, and other structures. No transaction terms were released.

Wolrige Mahon has Acquired Cookson Walker Group

Wolrige Mahon Collins Barrow LLP, a Canadian provider of audit, tax, and advisory services, has acquired Cookson Walker Group, a Canadian provider of consultative financial advice to individuals and businesses. No transaction terms were released.

Consumer Discretionary (Announced)

Just Energy Group to Acquire Filter Group

Just Energy Group Inc. (TSX:JE), a Canadian provider of electricity, natural gas, and renewable energy solutions globally, has agreed to acquire Filter Group Inc., a Canadian provider of subscription based, home water filtration systems to residential customers in North America. Total transaction value is estimated to be $84.0 million.

Cruzani to Acquire Recipe Food Co.

Cruzani, Inc. (OTCPK:UHLN), a U.S.-based business development company that builds and acquires franchise concepts, has agreed to acquire Recipe Food Co., a Canadian restaurant and provider of catering services. Total transaction value is estimated to be $237 thousand.

Consumer Discretionary (Closed)

Swander Pace Capital has Acquired Fine Choice Foods

Swander Pace Capital, a U.S.-based private equity firm, has acquired Fine Choice Foods Ltd., a Canadian manufacturer and marketer of Asian foods for the North American market. No transaction terms were released.

MCI Group Canada has Acquired CG&I

MCI Group Canada Ltd., a company that offers strategic engagement and activation solutions for international meetings, events, and conferences, has acquired Conferences, Groups, and Incentives (CGI) Inc., a Canadian provider of event management services. No transaction terms were released.

Statements Media has Acquired Sharkfin Canada

Statements Media Inc., a Canadian outdoor advertising company that engages in the formation, management, and sale of out-of-home properties and advertising networks, has acquired Sharkfin Canada Inc., a provider of taxi top advertising services. No transaction terms were released.

Real by Fake has Acquired Local Hero

Real by Fake, a Canadian provider of digital visual effects for films and television services, has acquired Local Hero, a U.S.-based provider of post-production services to the feature film community. No transaction terms were released.

Consumer Staples (Closed)

National Access Clinic has Acquired The Green Company

National Access Clinic Corp. (TSXV:META), a Canadian owner and operator of clinics, has acquired The Green Company Ltd., a Canadian retailer of medical cannabis. Total transaction value is estimated to be $38.7 million.

Healthcare (Announced)

Leis Industries to Acquire Sechelt Organic Marijuana

Leis Industries Limited (TSXV:LES.H), a Canadian company that engages in the real estate development business, has agreed to acquire Sechelt Organic Marijuana Corp., an applicant to be a licensed cannabis producer in Canada. Total transaction value is estimated to be $350 thousand.

Financials (Closed)

HUB International has Acquired Frontier Business Centre

HUB International Limited, an AlpInvest Partners and Hellman & Friedman backed U.S.-based provider of insurance brokerage services, has acquired Frontier Business Centre Ltd, a Canadian broker for personal and commercial insurance. No transaction terms were released.

Information Technology (Announced)

GTY Technology Holdings to Acquire Bonfire Interactive

GTY Technology Holdings Inc. (NasdaqCM:GTYH), a U.S.-based company that focuses on identifying, acquiring, and operating businesses in the technology industry, has agreed to acquire Bonfire Interactive Ltd., a Battery Ventures, CrossLink Capital, Y Combinator and Spider Capital Partners backed Canadian developer of a cloud based collaborative decision-making tool that evaluates supplier proposals. Total transaction value is estimated to be $140 million.

Information Technology (Closed)

Vendini has Acquired Boxxo

Vendini, Inc., a U.S.-based provider of ticketing, patron management, marketing, and fundraising solutions for organizations, has acquired Boxxo Inc., a Canadian ticketing software company. No transaction terms were released.

Lucidea has Acquired Maxus Australia

Lucidea Corporation, a Canadian developer of library automation and knowledge management solutions, has acquired Maxus Australia Pty Ltd., an Australian designer and developer information management software company. No transaction terms were released.

VitalHub to Acquire Roxy Software

VitalHub Corp. (TSXV:VHI), a Canadian developer and supporter of web, mobile, electronic healthcare record solutions and blockchain technology, has agreed to acquire Roxy Software Inc., a Canadian provider of web-based software solutions. Total transaction value is estimated to be $508 thousand, implying a 1.82x revenue multiple.

Utilities (Announced)

Abacus Health Products to Acquire World Wide

Abacus Health Products, Inc., a U.S.-based developer, marketer, and retailer of medical cannabis products, has agreed to acquire World Wide Inc., a Canadian supplier of electric power and thermal energy. No transaction terms were released.