Home Canada

Canada

A new report by CB Insights says Canada was second only to the United Kingdom in the number of non-U.S. acquisitions of private technology companies in 2012. The report, which counted 2,277 acquisitions last year, noted Canada "has a lot of momentum as of late on both the financing and exit front". Thomson Reuters (publisher of peHUB Canada) has reported steady venture-backed exits in Canada in 2012, including one of the largest buys in market history, the US$1.1 billion purchase of Montréal’s Enobia Pharma Corp. by Alexion Pharmaceuticals Inc.  
British private equity firm 3i Group, which is undergoing a restructuring process, is likely to continue disposing of assets in the coming months, reports Reuters. A source "familiar with the situation" said 3i is now preparing to sell several portfolio companies, including Canadian manufacturer Mold-Masters Ltd. The Financial Times reports the sale of the company could be worth C$700 million. Georgetown, Ontario-based Mold-Masters, which produces hot runner technology and systems, received a significant investment from 3i in 2007.
CGI Group Inc., a Montréal-based IT and business process services company, achieved revenues totaling C$2.53 billion in the first quarter of 2013, which represents year-over-year growth of 148 percent. The growth takes into account the impact of CGI's C$2.7 billion acquisition of British IT provider Logica plc in August 2012. Around the time of this acquisition, CGI received a C$1.0 billion private equity investment from Canadian pension fund manager the Caisse de dépôt et placement du Québec.
Allocadia Software Inc., a Vancouver, British Columbia-based provider of cloud software for marketing operations, has closed a C$1 million seed-stage financing round. Proceeds from the deal, which involved Canadian venture capital firms Beehive Holdings and iNovia Capital, as well as local entrepreneurs, will be used to accelerate the company's growth. Nanon de Gaspé Beaubien-Mattrick, President and Founder of Beehive, also joined Allocadia’s board. Beehive focuses on women entrepreneurs, offering them coaching, capital and a connected network.
New Centaur LLC, a portfolio company of Canadian mid-market buyout firm Clairvest Group, is now free of regulatory constraints to proceed on its bid to acquire Indiana Grand Casino and Indiana Downs in Shelbyville, Indiana. The previously-announced acquisition has been estimated to value US$500 million. Indianapolis-based New Centaur, which holds various gaming interests in the state, including the Hoosier Park Racing & Casino, first received investment from Clairvest in 2010.
Atomic Reach Inc., a content marketing platform that enables brands and bloggers to expand their reach, improve user engagement and drive more revenue through community collaboration, has obtained financing totaling C$1.25 million. The deal was led by Canadian venture capital firm GenWealth Venture Partners with the participation of MaRS Investment Accelerator Fund. The Toronto-based Atomic Reach will utilize the proceeds of the investment to launch its new content marketing platform v3.0 and to expand the company's business development team.
Michael Sabia, President and CEO of the C$159 billion Caisse de dépôt et placement du Québec said the Canadian pension fund manager will ratchet up its investments in alternative assets, such as real estate, private equity and infrastructure. The Globe and Mail reports the Caisse will allocate up to C$12 billion more to private investment to compensate for slow global economic growth, the rise of emerging markets, low interest rates and capital market volatility. By 2015, private investments should reflect 30 percent of the Caisse's total portfolio, up from the current 25 percent.
York Angel Investors, an organized network of angel venture capitalists based in Vaughan, Ontario, has received a C$100,000 investment from Canadian government.  The investment is intended to help develop a base of 60 or more angel investors to respond to the funding needs of early-stage innovative companies.  York Angel Investors often syndicates with other local angel groups in financing companies.  In 2012, this activity included a C$400,000 investment in Breakeven Inc., a Markham, Ontario-based software company.
Endurance Wind Power Inc., a Vancouver, British Columbia-based manufacturer of wind turbines designed for power grid application, has secured C$7 million in funding from Export Development Canada (EDC). Proceeds will go toward completion of new wind turbine projects in the United Kingdom.  Endurance Wind has been venture-backed since 2010. The company's backers include BC Advantage Funds (VCC) and Yaletown Venture Partners.
A new research paper finds that defined benefit pension plans managing the largest private equity portfolios outperform those managing the smallest ones.
pehub
pehub

Copyright PEI Media

Not for publication, email or dissemination