Blog

Canadian Private Market Recap: June 5

  • Posted By: Ari Cuperfain

  • |
  • Comments: 1

Last week’s activity in the Canadian private market included a number of cross-border transactions, led by both private equity firms and industry consolidators. The trend of strong performance for Canadian businesses choosing to go public in the U.S. market continued with DAVIDsTEA’s NASDAQ IPO on Friday. Here are the major deals for the week:

Armtec Infrastructure Acquired by Brookfield for $110 Million
BSA Inc. Acquired by Frutarom for $42.75 Million
Safety Express Acquired by Aramsco
Intrafinity Inc.’s SharpSchool Acquired by West Corporation
EPM Mining Closes PE-Backed Private Placement of Up to $85 Million
Strong Performance by DAVIDsTEA on First Day of U.S. Trading

M&A
Armtec Infrastructure Acquired by Brookfield for $110 Million

Brookfield Asset Management completed its acquisition of virtually all of Armtec Infrastructure Inc.’s assets. While not officially disclosed, the transaction was valued at US$110 million according to peHUB Canada. Armtec manufactures infrastructure products and provides engineered construction solutions. The company is headquartered in Concord, ON. In 2011, Brookfield lent $125 million to Armtec in the form of a senior loan.

BSA Inc. Acquired by Frutarom for $42.75 Million

Frutarom (TASE: FRUT) closed its purchase of a 95% interest in BSA Inc. this past Monday. The shares were purchased from BSA for $42.75 million in cash. Based in Montreal, QC, BSA specializes in the development, production and marketing of non-sweet flavours such as seasonings, and other food ingredients, with particular focus on processed meats and convenience foods. Frutarom is based in Israel and is a leading, multinational company in the flavour and fine-food ingredients market. According to Ori Yehudai, President and CEO of Frutarom, “This is an important and significant strategic acquisition that solidifies Frutarom's position as one of the world's top companies for flavors, and reinforces its presence and standing as a leading global producer of savory solutions.” BSA is Frutarom’s fifth acquisition so far this year.

Safety Express Acquired by Aramsco

Safety Express announced that it has been acquired by Aramsco Inc. The financial terms of the transaction were not disclosed. The company is based in Mississaugua, ON, with offices at eight locations across Canada. Based in Thorofare, NJ, Aramsco provides specialty-contracting solutions in the U.S., with 21 locations throughout the country. On the deal, Kelly Robertson, President of Safety Express said, “We are proud to be partners with Aramsco and excited about the opportunity this creates for our team…We look forward to offering our customers access to the full product assortment of the combined businesses.”

Intrafinity Inc.’s SharpSchool Acquired by West Corporation

Intrafinity Inc., operating as SharpSchool, was acquired by West Corporation (NASDAQ: WSTC) on Tuesday. The transaction was valued at US$19 million. West Corporation, headquartered in Omaha, NE, is a global provider of communication and network infrastructure solutions. SharpSchool is a SaaS website and content management company based in Toronto, ON, that provides communications solutions primarily to K-12 educational institutions. SharpSchool will join West Corporation under the auspices of SchoolMessenger, one of West’s divisions. 

Financing
EPM Mining Closes PE-Backed Private Placement of Up to $85 Million

EPM Mining Ventures Inc. (TSX-V: EPK) has closed the first round of its private placement with EMR Capital. Based in Toronto, ON, EPM is an exploration-stage company focused on specialty fertilizers. The first round of financing was valued at $10.35 million and the remaining placement will be actualized as certain project milestones are realized. The funding will go towards EPM’s development of its Sevier Lake Playa property in Millard County, Utah, which contains potassium, magnesium, sulphate, lithium and other minerals. 

Strong Performance by DAVIDsTEA on First Day of U.S. Trading

Specialty tea retailer DAVIDsTEA Inc. (NASDAQ: DTEA) began trading on the NASDAQ stock exchange this past Friday. The IPO was priced at US$19 per share, raising roughly US$97 million. On its first day of trading, share prices rose nearly 45% to a high of US$27.48, and closed at US$27.00, up 42% from the starting price. The DAVIDsTEA IPO comes just two weeks after Toronto-based Shopify’s IPO. Shopify share prices are currently up over 60% from its initial listing price.

Never miss an update. Subscribe to our mailing list through our Subscription Page.

Add A Comment

Confidentiality and Communications Protocols

Continue Reading

Sign Up to Receive Valitas Publications

Subscribe