The Sears store located at the Erin Mills Town Centre in Mississauga, OntFred Lum/The Globe and Mail
Our roundup of Canadian small-caps of between $100-million and $2.5-billion in market capitalization making news and on the move today.
Calian Group Ltd. (CGY-T) says it has "re-won" the Health Care Providers Requirements (HCPR) contract to provide health support services to the Canadian Armed Forces (CAF).
The company said it was also awarded two additional contracts to provide health support services to the Royal Canadian Mounted Police (RCMP) and Veterans Affairs Canada (VAC).
It said the HCPR contract has an initial term of four years with an initial value of $275-million and an option to extend the contract for up to eight additional years, with an aggregate total contract value for the 12 years of up to $875-million.
It said it was awarded additional contracts with similar terms to provide services to the RCMP and VAC with initial four-year term values of $19-million and $17-million, respectively, and aggregate total contract values for the full 12-year period of up to $60-million and $55-million, respectively.
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Quarterhill Inc. (QTRH-Q; QTRH-T) says its Wi-LAN Inc. subsidiary has entered into a new comprehensive license agreement with Samsung Electronics Co. Ltd.
"This new license agreement expands upon the patent rights previously granted to Samsung in the wireless license agreement announced in 2013," the company said.
It said the terms of this agreement are confidential.
In a separate release, Quarterhill provided an update on expected financial results for the third quarter ended Sept. 30.
Driven by "strong results" from Wi-LAN Inc. and the inclusion of a full quarter of operations of its other subsidiaries, International Road Dynamics Inc. and Viziya Corp., Quarterhill said its consolidated revenue is expected to be in the range of $72.5-million (U.S.) to $82.5-million.
Adjusted EBITDA is expected to be in the range of $50-million to $56-million.
"We are very pleased to have such a substantial contribution from Wi-LAN this quarter," said interim CEO Shaun McEwan. The results are expected to be released on Nov. 9.
No previous estimates were provided.
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Trilogy International Partners Inc. (TRL-T) says its previously announced secondary offering will not be proceeding "as the majority of the selling shareholders did not agree to the offered price for the shares to be sold under the offering."
The company said there was sufficient demand to cover the expected number of shares to be sold under the offering.
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Insolvent Sears Canada Inc. (SCC-T) is ready to give its executive chairman another month to firm up his bid for the company, even as the retailer pushes ahead with a flurry of sales of its assets to others, raising more doubts about its long-term survival.
Sears, which won court protection from its creditors in June, will ask the Ontario Superior Court on Wednesday to approve a number of sales, including some that would result in 11 more stores closing and 1,200 more employees losing their jobs after the outlets are liquidated. In June, it announced that 2,900 other workers were being let go without severance and 59 of its 255 outlets were closing.
As well, Sears will ask the court to extend its protection period until Nov. 7. And it will ask for a green light to sell its Viking trademarks to Canadian Tire Corp. Ltd. and seek approval to sell the lease of its Calgary distribution centre to Indigo Books & Music Inc.
--Marina Strauss
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Aurora Cannabis Inc. (ACB-T) says it has bought BC Northern Lights Enterprises Ltd. and Urban Cultivator Inc., companies involved in the production and sale of proprietary systems for the indoor cultivation of cannabis, for $3.85-million in cash and $500,000 in Aurora common shares. There's also a further $4-million of future consideration based on the achievement of certain pre-established EBITDA performance milestones related to BCNL and Urban Cultivator operations.
"These transactions are an important step in Aurora's strategy to serve the home gardening market in Canada for patients who choose to grow their own medical cannabis, and ultimately for adult consumers who choose to grow their own after Canada's federal government legalizes adult usage, which is anticipated by July, 2018," said Neil Belot, Aurora's chief global business development officer, in a release. "For over a decade, BC Northern Lights products have been widely recognized as the gold standard for home cannabis production, and we look forward to integrating our offerings to deliver a truly unique and full-service customer experience."
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Plaza Retail REIT (PLZ.UN-T) announced an additional investment in eight projects in Atlantic Canada, Quebec and Ontario.
The REIT said it has already invested approximately $7.8-million to date on these projects on land and other capital/construction costs, and expects to invest approximately $5.3-million more, for total capital costs of $13.1-million."
"We continue to grow and enhance our portfolio through high-quality developments and re-developments that are leased to some of Canada's most prominent retailers," said CEO Michael Zakuta.
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Grande West Transportation Group Inc. (BUS-X) says it delivered a record 75 Vicinity buses in the third quarter.
"These record deliveries have resulted in quarterly record revenues of over $25-million and the second consecutive quarter of profitability," the company stated.
It's targeting delivery of 200 Vicinity buses during 2017.
It also started operations at the Atlanta-based College Park Facility.
"All Buy America assembly processes, tooling and trained staff are in place and pre-operational testing has been conducted," it said.
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Transat A.T. Inc. (TRZ-T) says it has signed a seven-year agreement with Thomas Cook Group Airlines for the exchange of aircraft on a seasonal basis.
"Under the terms of the agreement, Thomas Cook will make available every winter to Air Transat a number of narrow-body Airbus A321s and will receive at least one wide-body Airbus A330-200 in return," the company stated.
Transat said it will enable both companies to better use and manage their fleet.
"This agreement marks a new step in the reconfiguration of our fleet," says Jean-Marc Eustache, CEO of Transat.
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Sprott Inc. (SII-T) has an agreement to acquire Central Fund of Canada Ltd..
The agreement gives it the right to administer and manage CFCL's assets, and move CFCL's class A shareholders to a new Sprott-managed trust.
'The transaction is expected to drive long-term revenue and earnings growth for Sprott and unlock significant value for the class A shareholders of CFCL," the company stated.
"This transaction reinforces Sprott's global leadership in precious metals," said Peter Grosskopf, CEO of Sprott. "It demonstrates how we're executing on our strategy of increasing our precious metals and real assets exposure to meet growing investor interest in the sector."
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Héroux-Devtek Inc. (HRX-T) says it has an agreement to acquire Compañia Española de Sistemas Aeronauticos, S.A. (CESA), a subsidiary of Airbus SE for about $205-million.
"The acquisition of CESA marks a pivotal moment in Héroux-Devtek's international expansion," stated CEO Gilles Labbé.
"This transaction will allow us to increase our presence with Airbus, hence giving us better access to one of the largest aircraft manufacturers in the world. With this transaction, we are significantly increasing our presence in Europe, expanding our product and service offering into complementary activities, adding a significant intellectual property rights portfolio, as well as gaining important content on several key aircraft programs and customers."
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Emerald Health Therapeutics Inc. (EMH-T) appointed Chris Wagner as CEO and director of the company.
Mr. Wagner has spent more than 25 years in marketing pharmaceutical products and building biotechnology companies, the company said.
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CanniMed Therapeutics Inc. (CMED-T) says it has signed a letter of intent with Avaria Health & Beauty Corp. for the distribution of topical medical cannabis products, product development and clinical research.
"Patients have a strong desire to apply their medical cannabis products directly onto affected joints and muscles, specifically to help combat symptoms of chronic pain," said Brent Zettl, CEO of CanniMed. "Our strategic alignment and partnership with Avaria Health & Beauty, a Canadian leader best known for their naturally-based Kalaya topicals, will help facilitate a more immediate market penetration. The focus on quality standards and clinical processes will be the cornerstone of future product development, specifically a combining our cannabinoids with their topical technologies."
The companies said they're planning a number of projects, including clinical trials for the development of new topical products, and pursuing international expansion opportunities.
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