Our roundup of Canadian small-caps of between $100-million and $3-billion in market capitalization making news
Tidewater Renewables Ltd. (LCFS-T) announced a $150-million five-year senior secured second lien credit facility with an affiliate of the Alberta Investment Management Corporation. The facility will have an interest rate of 6.5 per cent annually, payable semi-annually.
Proceeds will be used by Tidewater Renewables to repay debt and for working capital, general corporate purposes, and for growth projects.
NFI Group Inc. (NFI-T) updated its expected third-quarter results and lowered planned fourth-quarter vehicle deliveries and guidance citing continued supply constraints and “unreliable supplier performance.”
The company also said it has an action plan to mitigate further negative impacts including temporarily halting select new vehicle production lines to focus on the completion of vehicles in process.
NFI said it expected to deliver an adjusted EBITDA loss of US$15-million to US$17-million in the third quarter. Revenue for the quarter is expected to come in at between US$500-million to US$520-million.
The company also said its fiscal 2022 adjusted EBITDA guidance is now expected to be a loss of US$40-million to US$60-million, lowered from a gain of US$15-million to US$45-million. Annual revenue is expected to come in at US$2-billion to US$2.2-billion, down from US$2.3-billion to US$2.6-billion.
The company said it’s anticipating recovery next year as it capitalizes on its firm backlog of over 4,150 units, as well as record bid activity, improved contract pricing, and higher production rates from anticipated supply improvements. NFI reaffirmed its 2025 targets to achieve $400-million to $450-million of adjusted EBITDA.
NFI said it has moved its third-quarter release date to Nov. 15 from Nov. 2 to provide management with additional time to finalize results.
Neighbourly Pharmacy Inc. (NBLY-T) announced two separate agreements to acquire six community pharmacies located in New Brunswick and Nova Scotia and two community pharmacies located in British Columbia. The total purchase price for the acquisitions is $15.5-million and will be funded from cash on hand and drawings on the company’s credit facility.
Including these acquisitions, Neighbourly said it will have 284 locations across Canada.
Foran Mining Corp. (FOM-X) announced that certain entities controlled by Fairfax Financial Holdings Limited have exercised their warrants in advance of the expiration date.
As a result of the exercise of the warrants, Fairfax owns 43.8 million common shares, representing 19.2 per cent of the common shares, and 27.8 million non-voting shares, or 100 per cent of those shares. Altogether it owns 27.9 per cent of the issued and outstanding shares, the company stated.
Pure Gold Mining Inc. (PGM-X) announced that it’s suspending operations and placing its PureGold Mine on care and maintenance immediately.
“This step follows an evaluation of several potential alternative scenarios and has become necessary because the mine has not yet achieved consistent positive site-level cash flow, notwithstanding recent reductions in operating costs and sequential quarter-over-quarter increases in production,” the company stated. It said the suspension of operations has resulted in the company withdrawing its guidance for the fourth quarter.
The company also said that if it can’t find additional outside financing in the short term, it will not be able to meet its obligations as they become due, “resulting in a default under its debt obligations.”