Bottles of British Columbia wine on display at a liquor store in Cremona, Alta., on Feb. 7, 2018.Jeff McIntosh
Our roundup of Canadian small-caps of between $100-million and $2.5-billion in market capitalization making news and on the move today.
Sierra Metals Inc. (SMT-T) announced on Sunday the termination of a strike action that began on Friday "by a small group of unionized contract employees which represented less than 10 per cent of the workforce at the Yauricocha Mine." The company said the strike ended after 36 hours of negotiations and that employees were all back on the job on Saturday evening. "Impact of the strike on production was minimal and the company will not be making any adjustments to the 2018 production and cost guidance," it stated in a release.
**
Liquor Stores N.A. Ltd. (LIQ-T) says David Gordey will return to the role of chief financial officer as of April 13. He is currently the company's president and chief operating officer. Current CFO Matthew Rudd is leaving "to pursue another opportunity," the company stated.
**
Cronos Group Inc. (CRON-Q; CRON-X) announced a "first-of-its-kind cross-border joint venture" with MM Enterprises USA, LLC, a U.S. cannabis company with facilities in California, Nevada, and New York
The joint venture is called MedMen Canada Inc. and will develop branded products and open stores across Canada, "leveraging Cronos' Canadian reach and expertise, as well as MedMen's class-defining retail expertise," the companies said.
**
Choom Holding Inc. (CHOO-CN) says it completed a financing of subscription receipts to raise $7-million including a $4-million lead order from ABcann Global Corp. (ABCN-X).
Choom also struck an agreement that sees ABcann supply it with cannabis products, subject to regulatory approval.
Choom also said it has an agreement to buy a late-stage Access to Cannabis for Medical Purposes Regulations applicant.
**
MedReleaf Corp. (LEAF-T) says it has an agreement to become the largest supplier of medical cannabis products to Cannamedical Pharma GMBH, a medical cannabis distributor to pharmacies in Germany.
MedReleaf said it will provide Cannamedical with monthly exports of five of its premium strain varieties "significantly improving the predictability and security of drug delivery to the German market."
**
Gibson Energy Inc. (GEI-T) says it has two separate agreements for the divestiture of its U.S. energy services businesses for approximately $125-million.
"We are very pleased to announce the sales of our U.S. Environmental Services and U.S. seismic assets, which is an important part of our shift towards an oil infrastructure focused business," said CEO Steve Spaulding.
**
WeedMD Inc. (WMD-X) says it has made a strategic investment in Scorpion Resources Inc., to be renamed Blockstrain Technology Corp. (SR.H-X).
"WeedMD will be amongst the first federally-licensed producers to initiate the integration of blockchain technology into its ecosystem," the company said in a release. "Blockstrain delivers a secure and immutable blockchain platform to establish global certainty for cannabis strains and their ownership."
**
Knight Therapeutics Inc. (GUD-T) announced a license agreement with Ardelyx Inc. (ARDX-Q) that gives Knight exclusive rights to commercialize its tenapanor treatment in Canada.
Tenapanor is an oral small molecule treatment that has completed Phase 3 development for irritable bowel syndrome.
Under the terms of the agreement, Knight will pay up to $25-million, including an upfront payment and development and sales milestones, as well as double-digit tiered royalties on net sales.
**
Namaste Technologies Inc. (N-CN) says its Cannmart Inc. subsidiary has received its Access to Cannabis for Medical Purposes Regulations (ACMPR) production license from Health Canada.
Cannmart may now place initial orders with ACMPR licensed producers, the company said.
**
CanniMed Therapeutics Inc. (CMED-T), which has been bought by Aurora Cannabis Inc. (ACB-T), reported first-quarter sales of $4.8-million, which it said was 41 per cent higher than the same quarter a year earlier.
Net earnings were $5.3-million versus a loss of $3.9-million a year ago. Revenue per gram was $10.56 versus $9.71 a year earlier.
**
Hecla Mining Co. (HL-N) is buying Klondex Mines Ltd. (KLDX-A; KDX-T), a Nevada underground gold producer with its Fire Creek, Midas and Hollister mines, through a plan of arrangement.
Klondex's Canadian assets will be spun out to its existing shareholders, the company said.
The cash-and-share deal is valued at US$462-million. Klondex's shareholders will receive US$2.47 per share in cash or shares of Hecla, which represents a 59-per-cent premium to Klondex's 30-day volume-weighted average price on Friday.
**
VersaBank (VB-T) says its VersaVault Inc. subsidiary has signed two memorandums of understanding with a cryptocurrency exchange and a cryptocurrency-based fund "to facilitate discussions regarding VersaVault providing custodial services and piloting its blockchain-based digital safety deposit box."
VersaBank CEO David Taylor called it "an important step in our development of the VersaVault. There are two primary institutional holders of cryptocurrency assets, the exchanges and the funds. In connection with developing a product that meets with the seamless services that both exchanges and funds require, we have signed MOUs with one of each, which will provide us with the necessary feedback regarding what institutional digital asset holders require from our services, so that when we launch globally to the other exchanges, funds and numerous other digital asset holders, we will have a product that meets their specific needs, and one which provides for ease of use."
**
CRH Medical Corp. (CRH-T; CRHM-A) says it has acquired Shreveport Sedation Associates, a gastroenterology anesthesia practice in Shreveport, Louisiana.
Shreveport is an existing customer and the company's first acquisition in Louisiana. The transaction was financed through a combination of CRH's credit facility and cash on hand, the company said. The price wasn't disclosed. CRH said the company has estimated annual revenue of US$3.5-million.
**
Shares of Aeroplan parent company Aimia Inc. (AIM-T) were up 10 per cent in early trading on Monday on news that Aeroplan members will be able to earn points on most of their purchases on Amazon.ca starting on April 24.
The loyalty rewards program says members who visit Amazon.ca through the Aeroplan website will be able to earn at least one Aeroplan mile for every $1 dollar spent.
Aeroplan status members will be able to earn even more miles.
The announcement of the Amazon partnership follows news last week that Aeroplan members would no longer be able to earn miles at Esso gas stations starting later this year.
Aeroplan parent company Aimia Inc. has been working to prepare for the end of its agreement with Air Canada.
The airline served notice last year that it does not plan to renew its 30-plus year partnership when the current contract ends in 2020.
- The Canadian Press and Brenda Bouw
**