Our roundup of Canadian small-caps of between $100-million and $2.5-billion in market capitalization making news and on the move today.
Transat A.T. Inc. (TRZ-T) reported third-quarter revenues of $696.6-million, down from $733.2-million a year ago and below expectations of $794.8-million. Its net loss attributable to shareholders of $4-million or 11 cents per share compared to income of $26.6-million or 72 cents a year ago.
Its adjusted net loss was $3-million or 8 cents per share compared with an adjusted net income of $26.9 million or 73 cents per share in 2017. Analysts were expected adjusted earnings of 47 cents.
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ATS Automation Tooling Systems Inc. (ATA-T) said it plans to acquire KMW Konstruktion, Maschinen- & Werkzeugbau GmbH & Co. KG and KMW GmbH, a German-based supplier of custom micro-assembly systems and test equipment solutions. ATS said will pay €19.5 million (about $29.5-million Canadian) in cash.
"The addition of KMW's micro-assembly technology and expertise are expected to strengthen ATS' current offerings in the EV market," the company stated.
Earlier, it announced it received an order booking, valued at $80-million, from a global automotive manufacturer for a fully automated battery assembly system.
“ATS' ability to develop a leading technical solution and its demonstrated EV expertise were key factors in the customer’s decision to award this strategic program to us,” said Andrew Hider, CEO.
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InMed Pharmaceuticals Inc. (IN-T) reported a loss of $3-million or 2 cents per share in the fourth quarter ended June 30 versus a loss of $1.9-million or 2 cents a year ago.
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Agellan Commercial Real Estate Investment Trust (ACR.UN-T) issued a release confirming what it called “market speculation” that it’s currently conducting a formal review process to explore strategic alternatives, which may include a sale of the REIT.
"The REIT confirms that a review process is ongoing and that its Board of Trustees has engaged RBC Capital Markets and Wells Fargo Securities, LLC as financial advisors," it stated.
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Just Energy Group Inc. (JE-T) says it has entered into a US$250 million non-revolving multi-draw senior unsecured term loan facility with SCP and certain funds managed by a leading US-based global fixed income asset manager.
“This investment is in line with our mandate to provide bespoke debt financing to companies with attractive fundamentals and strong management teams," stated Adam Vigna, managing partner and chief investment officer of SCP.
The company also announced an invitation to holders to offer to sell the outstanding US$150-million of convertible bonds due in 2019.
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CannaRoyalty Corp. (CRZ-CN) says it and its subsidiary RVR Distribution have agreed to provide strategic financing to support the expansion and growth of Utopia Cannabis, a California-based cannabis brand focused on curating clean cannabis flowers, extracts and edibles. Under the agreement, CannaRoyalty will advance US$750,000 to finance a forward purchase of manufactured products, including Utopia-branded jarred extracts, vaporizer cartridges and edibles.
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Namaste Technologies Inc. (N-X) says its Namaste Bahamas Inc. subsidiary plans to acquire UK-Based AF Trading Ltd., operating as Access Fulfillment or accessfulfilment.com, for US$5-million in cash and shares.
Access Fulfillment operates a 30,000 square-foot distribution facility in the UK and holds a wholesale distribution authorization license issued by the Medicines and Healthcare Products Regulatory Agency, which allows Access Fulfillment to distribute pharmaceutical products throughout the UK.
“The acquisition of Access Fulfillment is the first step in Namaste developing its future medical cannabis distribution platform in the UK, which represents a much larger customer base than that of its Canadian operations,” the company said.
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Trinidad Drilling Ltd. (TDG-T) says its board has unanimously determined that the hostile offer from Ensign Energy Services Inc. (ESI-T) to buy the company for cash at a price of $1.68 per share “is not in the best interest of the company or its shareholders.”
The company said the board's determination followed "careful consideration," including advice from its financial and legal advisors, and the recommendation of the special committee. "The board believes the Ensign offer significantly undervalues Trinidad."
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Liberty Health Sciences Inc. (LHS-CN) has it has struck an exclusive partnership with AdaViv Inc., a hardware-enabled, predictive agriculture company, to improve production of cannabis at its Liberty Health Sciences 360 Innovation Campus in Gainesville, FL.
"This partnership demonstrates Liberty's commitment for being a cutting-edge company that consistently looks for new ways to advance common practices through data and technology," said George Scorsis, CEO of Liberty Health Sciences.
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DHX Media (DHX-T; DHXM-Q) issued preliminary financial results for its fourth quarter ended June 30. It said final results are expected on Sept. 25. It said a special committee of the company’s board is also expected to provide an update on its strategic review at that time.
Revenue is expected to come in at $99-million up from $87.6-million a year ago, the company said. Analysts are expecting revenue of $128.6-million in the latest quarter. Its net loss is expected to be between $18-million to $20-million versus $18.3-million a year ago.
“We have taken significant corrective actions to return to strong and sustainable organic growth, which are not yet reflected in our reported results,” said Michael Donovan, executive chair and CEO, DHX Media.
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SIR Royalty Income Fund (SRV.UN-T) announced a 5-per-cent increase to its cash distributions, raising its monthly unitholder distributions to 10.5 cents from 10 cents, representing an annualized distribution of $1.26 per unit.
"This is the second distribution increase approved by our board in 2018," said Peter Fowler, president and CEO of SIR Corp. "The board's decision reflects the trustees' ongoing confidence in the performance of our restaurant brands and the growth in our royalty pooled revenue."
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MDC Partners Inc. (MDCA-Q) said Scott Kauffman will step down as the company’s chairman and CEO once a successor is found, and will continue as a member of the board. “The search led by the board, which has retained a national search firm, will focus on an executive who can further advance the company’s ongoing commitment to creating value for shareholders, differentiating its agencies in a competitive industry, and enhancing its offerings to clients,” the company said.