Our roundup of Canadian small-caps of between $100-million and $2.5-billion in market capitalization making news and on the move today.
Extendicare Inc. (EXE-T) announced agreements with Revera Inc. and Axium Infrastructure Inc. related to the ownership, operation and redevelopment of long-term care homes in Ontario and Manitoba.
Extendicare has entered into agreements with Revera to acquire a 15-per-cent managed interest in 18 Class A long-term care homes located in Ontario and six homes in Manitoba. The remaining 85-per-cent interest will continue to be owned by an affiliate of Axium.
Extendicare also formed a joint venture with Axium to jointly redevelop certain of Extendicare’s existing Ontario Class C homes. Axium will own an 85-per-cent interest in the joint venture with Extendicare retaining a 15-per-cent interest.
The Revera transactions will add 56 long-term care homes to the 108 long-term care homes Extendicare currently operates (58 owned, 50 managed), the company stated.
The aggregate cash consideration for the Revera transactions is approximately $36-million plus the assumption of about $34-million in debt (at Extendicare’s share), subject to customary adjustments.
Upon closing of the acquisition, Extendicare said it will own a 15-per-cent interest in the 24 long-term care homes currently jointly owned by Revera and Axium and will operate the homes for a management fee. Upon closing of the Axium transaction, Axium will acquire an 85-per-cent interest in the joint venture, with Extendicare retaining a 15-per-cent managed interest.
**
Village Farms International Inc. (VFF-T) reported fourth-quarter sales of US$72.8-million up from US$47.4-million a year earlier. The expectation was for sales of US$87.9-million, according to S&P Capital IQ estimates.
Net income of US$2.1-million or 3 US cents per share was up down from net income of US$7-million or 12 US cents per share a year earlier. The expectation was for a profit of a penny US per share.
**
Cronos Group Inc. (CRON-T) reported revenue of US$25.8-million in the fourth quarter, up from US$17.1-million a year earlier. “The increase year-over-year was primarily driven by continued growth in the adult-use market in Canada and increased sales in the Israeli medical market,” the company stated.
Its net loss was US$133.9-million versus a loss of US$111.7-million a year earlier. “The increase in losses year-over-year was primarily driven by an increase in operating loss that was primarily driven by a combined $123.9-million in non-cash impairment charges,” the company stated.
Adjusted EBITDA came in at a loss of US$27.4-million versus a loss of $53.1-million a year earlier. “The improvement year-over-year was primarily driven by the improvement in gross profit and a decrease in sales and marketing and research and development expenses,” the company stated.
**
Bragg Gaming Group Inc. (BRAG-T) announced that it has been approved for a license to supply its content and services in the Bahamas.
“The Bahamas represents a fantastic opportunity for us to leverage our strength in appealing to different player demographics and highlights our team’s overall flexibility and scope of content,” stated chief commercial officer Chris Looney.
**
Sienna Senior Living Inc. (SIA-T) announced new acquisitions and a $75-million bought deal financing.
Sienna said late Monday that it has an agreement to acquire the Woods Park Care Centre in Barrie, Ont., for $26-million. Woods Park includes 55 private-pay independent living suites and 123 government-funded Class A long-term care beds. “The addition of Woods Park to Sienna’s portfolio further expands the company’s footprint in Ontario and in markets within close proximity to the Greater Toronto Area,” the company stated.
Sienna also said it’s in “advanced negotiations” to acquire a 50-per-cent interest in a newly built, private-pay retirement residence in Saskatchewan that consists of 159 private-pay independent living suites and 27 private-pay assisted living suites.
Sienna also said it has an agreement with a syndicate of underwriters that has agreed to buy five million common shares for $15 each for gross proceeds of $75-million. The stock closed at $15.44 on Monday.
**
Cominar Real Estate Investment Trust (CUF.UN-T) reported funds from operations were $30.7-million or 17 cents for the fourth quarter, down from $50.9-million or 28 cents a year earlier. Adjusted FFO came in at 7 cents versus 24 cents a year earlier. Its net loss of $204.3-million compared to a loss of US$100.3-million a year earlier.
**
Africa Oil Corp. (AOI-T) reported fourth-quarter net income of US$54.9-million or 12 cents US per share compared to US$79.8-million or 17 cents US per share a year earlier. Operating income came in at US$61.8-million compared to $91.2-million a year earlier, while net operating income was US$56.8-million compared to US$86.2-million a year earlier.
**
Journey Energy Inc. (JOY-T) announced a $10.5-million bought deal offering of flow-through common shares. The company said it has an agreement with Acumen Capital Finance Partners Limited to buy 2,480,000 common shares for $4.25 each. Journey said it will use proceeds to incur eligible Canadian development expenditures as allowed under the Income Tax Act.
**
Be smart with your money. Get the latest investing insights delivered right to your inbox three times a week, with the Globe Investor newsletter. Sign up today.