Our roundup of Canadian small-caps of between $100-million and $2.5-billion in market capitalization making news and on the move today.
AutoCanada Inc. (ACQ-T) says its lenders have agreed to increase the company’s maximum permitted total funded debt to EBITDA ratio from 4.00:1.00 to 4.50:1.00 for the period from September 1, 2018 to June 30, 2019. After June 30, 2019, the company’s maximum permitted ratio will be 4.00:1.00.
"While we are very comfortable that the company's total funded debt to EBITDA ratio will be well below 4.00:1.00, this amendment demonstrates our lender's trust in our business and allows us to continue to focus on our operations," said Paul Antony, executive chairman of AutoCanada.
Torstar Corp. (TS.B-T) says it has received approval from the members of its eight registered defined benefit pension plans to proceed with the merger of the Torstar Plans with the Colleges of Applied Arts & Technology Pension Plan, effective Oct. 1. Torstar and certain of its subsidiaries will become participating employers under the CAAT Plan, the company said.
“Following the consent of the Superintendent of Financial Services (Ontario), the liabilities for all past benefits under the Torstar Plans will be transferred to the CAAT Plan together with the assets of the Torstar Plans, and the CAAT Plan will assume responsibility for all pension benefit payments to members of the Torstar Plans going forward,” the company stated. “No additional cash funding related to the transferred liabilities is expected to be required from Torstar in connection with the merger.”
Ascent Industries Corp. (ASNT-CN) says Health Canada has informed the company’s wholly-owned subsidiary, Agrima Botanicals Corp., that it “did not meet all of its record keeping and other compliance requirements,” during an inspection conducted between Aug. 28 and 30.
Agrima's licenses have been partially suspended by Health Canada as a result.
"Agrima has commenced the process of addressing the identified issues and has initiated discussions with Health Canada for the reinstatement of the licenses," the company stated. "Ascent is committed to ensuring that applicable subsidiaries comply fully with Health Canada requirements applicable to operations."
The company issued a separate statement on Friday saying it has taken the certain actions, including enhancing its quality assurance and regulatory compliance team with more staff, conducted an audit of its record keeping controls and procedures, “identifying areas for enhancement, and commenced implementation of operational improvements,” and “has or will be relieving certain managerial staff of their positions with the company.”
Summit Industrial Income REIT (SMU.UN-T) says it plans to acquire a 262,610-square-foot single tenant Class A logistics facility located in Mississauga, Ont. for $33.5-million.
"Our presence continues to grow in the Greater Toronto Area, Canada's strongest industrial property market," stated CEO Paul Dykeman in a release. "With the completion of this acquisition, approximately 62.2 per cent of our total portfolio will now be located in the GTA."
Net proceeds will be used to support the growth of the easyfinancial consumer loan portfolio, the company stated.
On Friday, goeasy issued a release announcing an increase in the bought deal offering to 800,000 common shares at a price of $50.50 per share to raise $40.4-million.