Crude’s remarkable rebound this year has put the Toronto Stock Exchange on the cusp of hitting 14,000. The composite index closed yesterday at its highest level in six months. It’s a rally that’s been fuelled in no small part by oil’s 70 percent surge since its February low. And now Canada’s benchmark stock exchange is sitting on the brink of a threshold it hasn’t seen since last August.
Our roundup of Canadian small-caps of between $100-million and $2.5-billion in market capitalization making news and on the move today.
Ballard Power Systems (BLDP-Q, BLD-T) is selling its methanol telecom backup power business to a long-term partner, Chung-Hsin Electric & Machinery Manufacturing Corp. (CHEM) of Taiwan, for $6.1 million.
"We remain confident in the long-term potential for fuel cell systems to effectively serve the backup power needs of telecom operators around the globe," Ballard CEO Randy MacEwen, said in a release. "With the addition of these assets, we believe CHEM will be well positioned to become the leading provider of methanol backup power systems to the telecom industry."
CHEM will pay "up to $6.1 million for certain assets in Ballard's methanol Telecom Backup Power business," the company said. The deal includes an upfront payment of $3 million and an additional earnout of up to $3.1 million based on certain sales objectives.
In addition, CHEM has agreed to purchase fuel cell stacks exclusively from Ballard over the earnout period, with a minimum spend of $2 million, the company said.
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Callidus Capital Corp. (CBL-T) says its board has approved a dividend increase to $1 per share per year, up from 70 cents, or 8.33 cents per month.
It also plans a Normal Course Issuer Bid to purchase about 2.6 million of its common shares, or about five per cent of the company.
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Crius Energy Trust (KWH.UN-T) says it will buy the membership units of Crius Energy, LLC not already owned.
The trust now indirectly owns 14.7 million LLC Units, or about a 43-per-cent interest in the company.
It said the purchase will be funded through a bought deal public offering of subscription receipts.
It said the acquisition will have "no material impact" on the trust's distribution policy, payout ratio or net after-tax distributions to unitholders.
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Horizon North Logistics Inc. (HNL-T) said it has received reports that its 665-room Blacksand Executive Lodge has sustained "significant damage" due to the wildfires burning north of Fort McMurray, Alta.
It was placed on a mandatory evacuation order on Monday night.
"Horizon North's top priority is the safety of our guests and employees." stated CEO Rod Graham in a release Tuesday afternoon. "We safely evacuated Blacksand Executive Lodge as per our Emergency Response Plan and every guest and staff member is safe and accounted for."