Our roundup of Canadian small-caps of between $100-million and $2.5-billion in market capitalization making news and on the move today.
Yellow Pages Ltd. (Y-T) says that its wholly-owned subsidiary has reached a deal to sell its RedFlagDeals division to VerticalScope Inc. for $12-million.
The payment will be made in two installments, half the total when the transaction closes around Aug. 22 and the rest when unspecified conditions are met.
Yellow Pages CEO David Eckert says the sale frees up resources that will be devoted to its core business.
The Montreal-based company has been working to transform itself from a publisher of printed directories to a digital model.
The Toronto Star owns a majority interest in VerticalScope.
-The Canadian Press
Nexus Real Estate Investment Trust (NXR.UN-X) reported that its second-quarter property revenue increased to $13.1-million from $6.9-million for the same quarter of the prior year.
Adjusted net income was $4.5-million up from $2.9-million a year ago. Adjusted funds from operations came in at 5 cents, similar to a year ago and in line with expectations.
True North Commercial Real Estate Investment Trust (TNT.UN-T) has agreed to buy an office property in Richmond Hill, Ont. for $33-million. The price expected to be satisfied by the proceeds from the REIT’s July public unit offering, and $21.5-million first mortgage financing.
Namaste Technologies Inc. (N-X) has signed a revenue sharing agreement with business technology company Cannvas MedTech Inc. (MTEC-C). The two companies will share revenue generated through co-branding and marketing efforts between Namaste's medical cannabis patient portal and education platform.
Separately, Namaste said it has signed a wholesale supply agreement with Manitoba-based licensed producer, Bonify Inc. Under the terms of the agreement, Namaste will purchase bulk cannabis products through the company's wholly-owned subsidiary, Cannmart Inc.
“Bonify operates a large-scale cultivation facility and will expand capacity to over 350,000 square-foot that will accommodate Namaste’s growth trajectory,” the company stated. " Namaste will work with Bonify to develop private-label strains of cannabis for the medical and recreational markets as well as in offering the full selection of Bonify products."
Sierra Oncology, Inc. (SRRA-Q) has acquired the drug candidate momelotinib from Gilead Sciences. Sierra said it will pay Gilead a $3-million upfront fee for momelotinib and potential aggregate milestone payments of up to $195-million, which it said are largely associated with commercial sales of the drug.
"Momelotinib has been investigated in two completed Phase 3 trials for the treatment of myelofibrosis," the company stated. "Sierra will also pay Gilead royalties on any sales of momelotinib, which will be tiered based on commercial success and range from mid-teens to high-twenties. Sierra will assume all currently ongoing clinical studies with momelotinib following a transition period," the company stated.
Separately, the company said it has obtained a debt facility from Silicon Valley Bank to support the advancement of its drug development programs.
Sierra can borrow up to $15-million in three $5-million tranches. An additional $25-million is potentially available in an uncommitted incremental facility subject to lender approval, the company said.
"This credit facility provides us with the option to access minimally dilutive capital rapidly and incrementally as needed," said Dr. Nick Glover, CEO of Sierra Oncology.
Emblem Corp. (EMC-X) reported second-quarter revenues of $1.5-million representing a 180-per-cent increase over the same quarter last year. "The increase in revenues was a result of the commencement of oil sales during December 2017 and higher patient education revenues," the company stated.
Its net loss was $4.8-million or 4 cents per share versus a loss of $3-miillion or 3 cents last year. Analysts were expecting a loss of 3 cents and revenue of $1.8-million in the latest quarter.
MedMen Enterprises Inc. (MMEN-C) has signed an exclusive license agreement with Woodstock Ventures LC and its affiliate The Woodstock Cannabis Company granting MedMen rights to use the iconic Woodstock brand on cannabis products manufactured and sold in six states: California, Nevada, Massachusetts, Florida, Illinois and Arizona.
“The Woodstock festival marked the height of the 1960s counter-culture movement,” said MedMen Co-founder and CEO Adam Bierman. “As a brand, MedMen is all about pushing the boundaries and bringing about progressive change to make marijuana use part of the mainstream, so this partnership between MedMen and Woodstock makes perfect sense. It will help us reach a broad audience of consumers who are familiar with marijuana use, and ready to discover new products and ways to incorporate cannabis into their lives.”