Kirk Falconer

An affiliate of U.S. private equity firm HIG Capital has bought ATX Networks Corp, a Toronto-based designer, manufacturer and marketer of products for the global cable television industry and private video networks. The acquisition's value was not disclosed. The transaction provided an exit to U.S. private equity firm Pamlico Capital, which initially invested in the company in 2010. HIG said ATX and its product portfolio "provide an ideal platform to build on through both organic initiatives and add-on acquisitions." Founded in 1985, the company has a light manufacturing facility in Stuart, Florida and a research centre in Petach-Tikva, Israel.

TORC Oil & Gas Ltd has closed its previously announced acquisition of complementary light oil producing assets in Saskatchewan and Manitoba. The transaction, which was valued at about $430 million, saw the company purchase the assets from Surge Energy Inc. Canada Pension Plan Investment Board (CPPIB), a cornerstone investor in TORC, provided $150 million in private funding to help finance the deal. Based in Calgary, TORC is focused on the acquisition, exploration, development and production of crude oil and natural gas in Western Canada.

The Caisse de dépôt et placement du Québec and the Merchant Banking Division of Goldman Sachs have agreed to jointly buy a majority stake in SterlingBackcheck, an employment background screening business based in New York. The financial terms of the proposed transaction were not disclosed. As a result of the acquisition, Calera Capital, a U.S. private equity firm that invested in the company in December 2010, will be replaced as its lead investor. Founded in 1975, SterlingBackcheck said the new partnership with the Caisse and Goldman Sachs will support the next phase of its global growth.

Canadian energy-focused private equity firm ARC Financial Corp has closed its eighth fund, ARC Energy Fund 8, with a total raise of $1.5 billion. The oversubscribed fund was backed chiefly by limited partners that committed to ARC's previous funds, including ARC Energy Fund 7, which raised $1 billion in 2012. The Calgary-based firm said Fund 8 will continue to target opportunities involving Canadian growth exploration and production and oilfield service companies, and make investments of between $50 million and $200 million. Since its founding in 1989, ARC has raised more than $5 billion in fund capital. In March, Buyouts' Steve Gelsi reported on ARC and its latest fundraising activity.

Stingray Digital Group Inc, a Canadian multi-platform music and in-store media solutions provider, has wrapped up its debut on the Toronto Stock Exchange with a total raise of about $179.5 million. The company's initial public offering, which was targeted to bring in $140 million, included an over-allotment option granted to underwriters, totaling $21 million, as well as a concurrent secondary private placement by shareholders. One of Stingray's leading investors, Canadian private equity firm Novacap, told peHUB Canada it expected to see an eight-fold return on the sale of most of its 29.4 percent interest. Stingray itself accounted for $104 million from the offering.

U.S. oil and gas company Apache Corp (NYSE, Nasdaq: APA) has completed the previously announced sale of its Australian subsidiary Apache Energy Ltd to a consortium of private equity funds managed by Brookfield Asset Management and Macquarie Corporate Holdings. The transaction had a total value of about US$2.1 billion, or US$1.9 billion net of US$225 million in post-closing adjustments. The sale's effective close date was October 1, 2014.

The private equity group of Brookfield Asset Management has completed its previously announced acquisition of substantially all of the assets of Armtec Infrastructure Inc, a Canadian manufacturer of infrastructure products and engineered construction solutions. While the deal's value was not published, Brookfield previously told peHUB Canada that its investment in the company totals about US$110 million. Prior to the acquisition, Brookfield was a lender to Armtec, providing it with a $125 million senior secured loan in 2011. The Armtec transaction follows last month's agreement by Brookfield to buy GrafTech International Ltd, a U.S. graphite material solutions provider.

Private equity-backed Nelson Education, a Canadian educational publisher, recently obtained creditor protection and is expected to soon yield control of the business to a group of first lien lenders. In a website statement, Nelson said it has agreed with top lenders to create a new entity to acquire substantially all of the company’s assets and obligations. The deal is expected to close in June.

Oxford Networks, a portfolio company of Canadian private equity firm Novacap, has agreed to merge with BayRing Communications. The financial terms of the deal were not disclosed. Oxford said the combined entity will be the largest competitive telecommunications provider headquartered in Northern New England. The merger will also enable both businesses to leverage their strengths to expand services to existing client bases and continue growth in New England and beyond. Based in Lewiston, Maine, Oxford, is a provider of end-to-end technology solutions. As reported by peHUB Canada, the technology group of Novacap acquired a majority interest in the company in 2014.

Kahala Brands, a quick-service restaurant franchising business, has bought the Planet Smoothie and Tasti D‑Lite brands based in Brentwood, Tennessee. The financial terms of the deal were not disclosed. Kahala said the acquisitions strengthen its leadership position in the healthy treats segment. It said it will consolidate operations and run the franchising platform for both brands from the company's headquarters in Scottsdale, Arizona. Kahala is a portfolio investment of Canadian private equity firm Serruya Private Equity, which invests on behalf of the Serruya family. It is also backed by the Delavaco Group.