Our roundup of Canadian small-caps of between $100-million and $2.5-billion in market capitalization making news and on the move today.
Resolute Forest Products Inc. (RFP-N; RFP-T) is selling its Catawba, S.C. paper and pulp mill to New-Indy Containerboard LLC 's for $300-million. The deal includes $260-million in cash, subject to customary closing adjustments, and the assumption of approximately $40-million of balance sheet liabilities, largely net pension benefit obligations, the company said.
"We expect to use the proceeds from this asset sale to further reduce our net debt and improve shareholder value," stated Resolute CEO Yves Laflamme. "We will continue to explore high-return strategic opportunities to grow our core businesses in line with our transformation strategy. Over the coming days, we will communicate with our customers to discuss the impact of the transaction and the transition of supply for their orders of lightweight coated paper and market pulp."
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Park Lawn Corp. (PLC-T) said it has acquired the Wayne Boze Funeral Home and Gateway Memorial Park in Texas for US$3.4-million in cash.
"We are excited to be making a further investment in Texas with the purchase of these two properties. These locations fit well with our portfolio of properties in the Dallas area and are in line with PLC's growth strategy, which includes tuck-in opportunities in existing markets," stated Andrew Clark, CEO of Park Lawn. "We believe in partnering with strong, professional local staff and believe that our involvement will further enhance the positive and caring experience provided to the families we serve."
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Scythian Biosciences Corp. (SCYB-CN) said it has appointed Brady Cobb as it new CEO. Mr. Cobb replaces Rob Reid, who has stepped down to focus on European Cannabis Investment opportunities and will remain as an active member of the board and a “key person in driving the company’s strategic direction,” the company stated.
The company also named chairman Andy DeFrancesco to the position of chief investment officer effective Nov. 1.
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MedMen Enterprises Inc. (MMEN-CN) said it has signed a definitive agreement to acquire Seven Point, a licensed medical cannabis dispensary in the Chicago suburb of Oak Park, Illinois.
“This acquisition brings the MedMen brand to yet another major stage,” said MedMen CEO and co-founder Adam Bierman. “MedMen has established a presence in the primary markets of California, Nevada and New York. Our strategy has been to put our brand in high visibility commercial districts in popular locations like Beverly Hills, Manhattan, Las Vegas, and Oak Park, just outside Chicago, fits the mold perfectly.”
The price wasn't disclosed in the release.
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Novanta Inc. (NOVT-Q) said it has acquired the remaining approximately 24 per cent of the outstanding shares of Laser Quantum for $45.7-million in cash and restricted stock.
UK-based Laser Quantum is "the leading supplier to original equipment manufacturers (OEMs) of solid-state continuous wave lasers, femtosecond lasers, and optical light engines for the medical market," the company said.
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Blackbird Energy Inc (BBI-X) reported fourth-quarter sales of $5.3-million up from $2.8-million a year ago. Net income was $3-million versus a loss of $3.1-million a year ago.
It also said CFO Karen Minton will be stepping down, effective Tuesday. Travis Belak, previously the controller of the company, has been promoted to CFO.
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Novagold Resources Inc. (NG-T) reported a net loss from discontinued operations of $80.6-million or 25 cents per share in the third quarter, “primarily from the loss on the sale of Galore Creek, net of $80-million in tax.” The loss compared to $612,000 or nil per share a year ago. Its loss from continuing operations was $8-million versus a loss of $9.8-million a year ago.
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DHX Media (DHX-T: DHXM-Q) said it has signed a new agreement providing Prime Video’s U.S. streaming service with Spanish versions of 10 kids' shows, including Strawberry Shortcake: Sky’s the Limit and Bob the Builder. The new content is expected to launch for U.S. Prime Video members on Oct. 4, the company said.
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Aecon Group Inc. (ARE-T) is selling its contract mining business to North American Construction Group Inc. (NOA-T; NOA-N) for $199.1-million in cash.
“Aecon is executing on a record level of backlog and pursuing an unprecedented number of opportunities across our infrastructure and industrial segments,” said Jean-Louis Servranckx, CEO of Aecon, said in a release. “The capital-intensive contract mining business is outside Aecon’s core construction activities and focus. This transaction is consistent with Aecon’s drive to maintain and strengthen our balance sheet flexibility, which is key to the strong growth trajectory we are seeing in our core business.”
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The Flowr Corp. (FLWR-X) announced a strategic partnership with Ace Valley, a new brand of cannabis products for the upcoming adult-use recreational market created by the team behind Ace Hill Beer. “Ace Valley’s curated product portfolio of pre-rolled joints and premium dried flower applies the Ace Hill Beer team’s deep understanding of consumer values and trends to the cannabis market, while leveraging Flowr’s expertise in cultivation,” the company stated. It said Ace Valley’s flagship products will be pre-rolled joints available in two strains.
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VIVO Cannabis Inc. (VIVO-X) says it has made a $5-million strategic investment in Westleaf Cannabis Inc. “which is intended to be used by Westleaf to advance the rollout of their cannabis retail operations across Canada.”
Scott Hurd, CEO of Westleaf, said the investment by VIVO and the associated supply agreement “are a strong endorsement of our strategy and team and are pivotal steps in advancing our position as a premium cannabis retailer in Canada.”