Our roundup of Canadian small-caps of between $100-million and $2.5-billion in market capitalization making news and on the move today.
The Flowr Corp. (FLWR-X) announced plans to acquire the remaining 80.2-per-cent interest in Holigen Holdings Limited through a share purchase. Flowr announced previously its intention to acquire 19.8 per cent of Holigen.
The company said the acquisition has been approved by the board of directors of each of Flowr and Holigen "and is strongly supported by both management teams."
Separately, The Flowr Corp. announced on Tuesday morning a $125-million public offering of common shares. “The offering is expected to be priced in the context of the market, with the final terms of the offering to be determined at the time of pricing,” the company stated. It plans to use the net proceeds to fund, in part, its acquisition of the approximately 80-per-cent equity interest of Holigen Holdings Limited that it does not already own as well as “working capital required for the construction and development of Holigen’s and the company’s cultivation and production facilities, and for general corporate purposes.”
Norbord Inc. (OSB-N; OSB-T) says its oriented strand board (OSB) mill in High Level, Alta. resumed normal operations over the weekend. “The MacKenzie County mandatory evacuation order and town of High Level evacuation alert were both lifted this afternoon and MacKenzie County remains under an evacuation alert,” the company stated in a release after markets closed on Monday.
Norbord reported on June 18 that its High Level OSB mill had temporarily suspended production due to the wildfires burning nearby in the region. “All non-essential mill employees were safely evacuated at the time and the mill did not incur any damage,” the company stated. Norbord said the curtailment is not expected to materially impact the company’s second-quarter results.
Conifex Timber Inc. (CFF-T) announced the sale of its Fort St. James sawmill in B.C. and associated forest license to Hampton Lumber for $39-million “plus the market value of finished lumber and log inventory at closing.”
“We have known for some time that lumber industry rationalization is inevitable because too little sawlog supply is available to maintain the existing manufacturing base in the Interior region of B.C.," Conifex CEO Ken Shields. "The decision we have taken to sell the mill was extremely difficult; however, we are encouraged by Hampton’s plans for the site. We believe this transaction supports the province’s objectives for industry rationalization that is mindful of the impacts on people, communities and First Nations.”
Hampton Lumber operates nine sawmills in Oregon, Washington and B.C.