Our roundup of Canadian small-caps of between $100-million and $2.5-billion in market capitalization making news and on the move today.
A handful of small-cap cannabis companies are among the 26 licensed producers to sign supply agreements with the Ontario Cannabis Store online retail platform, such as Hiku Brands Co. Ltd. (HIKU-C), The Hydropothecary Corp. (HEXO-T), Organigram Holdings Inc. (OGI-X), Emblem Corp. (EMC-X) and Newstrike Brands Ltd.'s (HIP-X) Up Cannabis subsidiary, among others.
The companies were selected to provide products to the Ontario adult-use market when cannabis becomes legal in Canada for recreational use on Oct. 17.
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Conifex Timber Inc. (CFF-T) says the Regional District of Bulkley-Nechako in B.C. has issued an evacuation alert due to wildfire activity for an area which includes the town of Fort St. James and its mill site. “As wildfire conditions continued to deteriorate, Conifex Timber temporarily suspended operations Friday of last week,” the company stated after markets closed Monday. “The wildfires in British Columbia are volatile and continue to evolve ...,” the company stated. The company said it expects to restart operations at the mill later this week “but will continue to assess the wildfire situation and make further operational decisions accordingly.”
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A consortium led by Air Canada (AC-T) has reached a deal to acquire the Aeroplan loyalty program from Aimia Inc. (AIM-T).
The group, which includes TD Bank, CIBC and Visa Canada Corp., has agreed to pay $450 million in cash and assume approximately $1.9 billion of Aeroplan miles liability.
The price is an improvement from an initial offer of $250 million in cash and the assumption of the reward point liability in July that was rejected by Aimia.
The deal, which is supported by Aimia’s board and Mittleman Brothers, Aimia’s largest shareholder, is subject to shareholder approval and other closing conditions.
-The Canadian Press
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Superior Gold Inc. (SGI-X) reported second-quarter revenue of $33.6-million, which was in line with expectations of $33.1-million and up from $24.3-million a year ago. Net income was $737,000 or a penny per share versus a loss of $82,000 or zero cents a year earlier. Analysts were expecting earnings of 3 cents per share in the latest quarter.
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The Green Organic Dutchman Holdings Ltd. (TGOD-T) says it plans to acquire privately held HemPoland, a European manufacturer and marketer of cannabidiol, for about $20.4-million in cash and shares, with an additional $13.5-million) cash investment for "rapid European expansion."
The deal includes additional performance-based incentives of up to $15.8-million for delivery of $42.1 million of EBITDA in fiscal 2021.
“This strategic acquisition provides access to HemPoland’s vast distribution network, premium Cannabigold brand, state-of-the-art hemp oil extraction technologies, and provides a strategic pathway into the European market for TGOD’s medical and recreational products and licensing deals,” the company stated.
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Invictus MD Strategies Corp. (GENE-X) plans to spin out its wholly-owned subsidiary, Poda Technologies Ltd. "in a bid to create a stand-alone entity to conduct business in the U.S. and internationally, outside of the TSXV."
Poda is a zero-cleaning vaporizer system that the company says can be paired with vaporizable substances such as cannabis, tobacco and coffee.
As part of the arrangement, each common share of the company held by an Invictus shareholder will be exchanged for one new common share of the company and one Poda common share.
The company said it has obtained an independent valuation which puts the fair market value of Poda, as of June 30, at about $1.9-million.
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Osisko Metals Inc. (OM-T) plans to raise $10-million in a bought deal of flow-through shares. It has an agreement with Canaccord Genuity Corp. on behalf of a syndicate of underwriters for a placement of 10.9 million common shares at a price of 92 cents each.
The gross proceeds will be used for exploration expenses.