<strong>New</strong> <strong>York</strong> <strong>Fries</strong> at the Mall of the Emirates in Dubai.Lana Slezic/The Globe and Mail
Our roundup of Canadian small-caps of between $100-million and $2.5-billion in market capitalization making news and on the move today.
Cara Operations (CAO-T) said it is buying the New York Fries chain, which has 120 locations in Canada and 36 abroad. The value of the deal, which is expected to close this fall, wasn't disclosed.
Jay Gould, who founded New York Fries and is now founder and president the South St. Burger Co. burger chain said: "Cara is one of the most respected names in the Canadian Foodservice industry and I am excited to have them take over New York Fries and continue to grow it. For my part, I will continue to build South St. Burger using the same principles that have worked so well all these years for New York Fries."
"New York Fries is an attractive acquisition for Cara as it seeks to expand its holdings following the successful IPO in April," the company said. "The addition of New York Fries also helps diversify Cara's portfolio of stores into shopping centres where Cara's existing 10 brands currently have limited presence."
"New York Fries has a strong track record of growth, profitability and product development. New York Fries has both corporate and franchise stores in Canada plus international franchises. With the combination of the two companies, the New York Fries head office relocating to Cara's head office and an 'all cash' financed acquisition, this transaction will be accretive for Cara's shareholders," said Cara's chief executive officer Bill Gregson.
Cara owns brands including Swiss Chalet, Milestones, Montana's, Kelsey's, Harveys, Casey's, Prime Pubs, Bier Markt and East Side Marios.
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Vancouver-based Red Eagle Mining Corp. (RD-X) said it has extended the expiry of its share exchange takeover bid to acquire all of the common shares of CB Gold Inc. (CBJ-X) to Sept. 14 from Aug. 31. It said a notice of variation and extension has been filed and mailed to CB Gold shareholders.
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Vancouver-based Pretium Resources Inc. (PVG-T;PVG-N) said it has been issued all of the major regulatory permits required to begin development work towards commercial production at the Brucejack gold mine project in northern British Columbia. The British Columbia Minister of Energy and Mines has issued a Mines Act Permit approving Pretivm's mine plan and reclamation program allowing commercial production at the Brucejack Project. "The Mines Act Permit allows for the construction of a 2,700 tonnes per day dore and flotation plant, development of an underground mine, and associated facilities and other infrastructure.
Pretium said it has also been has also been issued an Environmental Management Act permit for the project by the B.C. Ministry of Environment which governs effluent discharge during construction and operation.
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Toronto-based Ivernia Inc. (IVW-T) said it has entered into a merger agreement with Geo Zone Exploration Ltd. under which Ivernia will acquire all the common shares of Geo Zone for $30-million (U.S.). In connection with the merger, Enirgi Group Corp. will convert about $12.464-million (Canadian) of outstanding debt owed by Ivernia to Enirgi Group into Ivernia common shares. Following completion of the proposed transaction, Ivernia plans to change its name to "Leadfx Inc." and to effect a share consolidation of Ivernia shares at a ratio of at least 50:1. Ivernia will issue 1.5-billion Ivernia shares to Geo Zone shareholders using a share price of 2.5 cents (Canadian).