Connect with us

Investment

Trez Capital Mortgage Investment Corporation Third Quarter Update – Canada NewsWire

Published

 on


TORONTO, Nov. 10, 2020 /CNW/ – Trez Capital Mortgage Investment Corporation (the “Company”) today released a third quarter financial and business update.

Financial & Business Update

On June 16, 2016 the shareholders of the Company approved the orderly wind-up of the Company (“Orderly Wind-Up”).  The Company is currently in the final wind-down period. All litigations have been settled and its remaining activity involves solely the maintenance of the corporation pending release and discharge of its liabilities.

As previously announced effective at the close of markets on July 31, 2019 the Company delisted and no longer trades on the TSX. Upon delisting the Company filed an application for an order that it cease to be a reporting issuer. The order, was granted on October 4, 2019 and permits the Company to reduce financial and regulatory reporting requirements. The Company is updating investors by posting a quarterly press release and annual audited financial statements onto https://www.trezcapitalmic.com.

In the first quarter the COVID-19 outbreak was declared a pandemic by the World Health Organization. Currently the situation is dynamic and the ultimate duration and magnitude of the impact on the economy and our business are not fully known at this time. However given that we have divested from all our mortgage investments and liquidated assets remaining the effect on the Company is expected to be minimal.

Below is a summary of the return of capital per book value since inception of the Orderly Wind Up plan:

Summary of Return of Capital since Inception of the Orderly Wind Up Plan



Book Value per Share


Opening Book Value at inception of Orderly Wind Up June 30, 2016

$

8.85






Total and Regular and Special Distributions to Investors since inception of Plan


(9.02)






Increase/decrease from Operations in net assets (including SIB)


0.30






Ending Book Value at September 30, 2020

$

0.13


There were no significant events in Q3 to report.

The Company has approximately $1.5 million in cash, as a reserve against ongoing expenses and contingent liabilities. Upon release and satisfaction of all liabilities, the Company intends to make a final distribution of all remaining funds to the holders of its Class A shares (the “Final Distribution”). If and to the extent there are proceeds to do so, one or more interim distributions may be made to the holders of Class A shares prior to the Final Distribution. However, there can be no assurance that any such interim distributions will occur. The formal dissolution of the Company will follow the Final Distribution. The expected time frame to obtain the release and discharge of all liabilities, distribute its remaining assets to shareholders and to dissolve is expected to be approximately twelve to eighteen months.

Forward Looking Statements

Certain statements in this news release about Trez Capital Mortgage Investment Corporation (the “Company”), and its business, operations, investments and strategies, and financial performance and condition may constitute forward-looking information, future oriented financial information, or financial outlooks (collectively, “forward looking statements”). The forward-looking statements are stated as of the date of this news release and are based on estimates and assumptions made by Trez Capital Fund Management LP (“Trez”) in light of its experience and perception of historical trends, current conditions and expected future developments, as well as other factors that Trez believes are appropriate and reasonable in the circumstances.  There can be no assurance that such forward-looking statements will prove to be accurate, as actual results, performance and future events could differ materially from those anticipated in such statements.  Past performance is not an indication of future returns, and there can be no guarantee that targeted returns or yields can be achieved. Such statements are qualified in their entirety by the inherent risks and uncertainties surrounding future expectations, including the effect of the global pandemic. Unless otherwise stated, all forward-looking statements speak only as of the date of this press release, and the Company has no obligation to update such statements.

About the Company

Trez Capital Fund Management Limited Partnership is the manager of and portfolio advisor to the Company. On June 16, 2016 the Shareholders of the Company approved the orderly wind-up of the Company. Under the orderly wind-up plan the Company will distribute the net proceeds through special distributions, the repurchase of shares pursuant to the normal course issuer bid, or otherwise.

SOURCE Trez Capital

For further information: Alexander Manson, Chief Executive Officer, Trez Capital, Tel: (604) 630-0775, E-mail: [email protected]

Related Links

http://www.trezcapital.com/

Let’s block ads! (Why?)



Source link

Continue Reading

Investment

Q3 2020 venture capital investment in Canadian tech lowest in two years, CVCA finds – BetaKit

Published

 on


Venture capital investment in Canada took a major dip in the third quarter (Q3) of 2020, according to the Canadian Venture Capital and Private Equity Association (CVCA).

Investment in Q3 dropped by 63 percent year-over-year, with just $891 million across 126 deals (all dollar figures are in CAD). This is also 47 percent less than the total investments made in the second quarter (Q2) of 2020.

“The realities of COVID and the continued strength of valuations is apparent in the deal flow.”

CVCA CEO Kim Furlong attributed the decreased venture capital investment to the COVID-19 pandemic. “The realities of COVID and the continued strength of valuations is apparent in the deal flow,” she said, noting that Q3’s results are more aligned with the deal flow challenges created by the pandemic than those from Q2.

“The strength of Q2 was in many ways a combination of GPs further capitalizing their portfolio and the added capital injections of BDC and EDC matching programs,” said Furlong.

The second quarter of 2020, which was the first quarter that reflected the effect of the COVID-19 on the market, saw Canadian venture capital investment reach a record high – much to the surprise of industry leaders. In the quarter, $1.66 billion was invested across 145 deals, a 23 percent year-over-year increase and more than double the amount invested in the first quarter of 2020.

At the time, Furlong attributed the deal flow to stimulus and incentives from the federal government, as well as VC firms “doubling down” on investing in the “leading stars” in their portfolios.

Last quarter was also the second-biggest quarter for Canadian venture capital investment over the last number of years, only beat out by Q3 2019, which marked the highest dollar amount ever invested in Canadian companies ($2.48 billion).

RELATED: Late-stage AI deals push Waterloo Region’s venture funding to five-quarter high in Q2 2020

A direct correlation can be made between Q3 2020 and Q3 2019, as both quarters saw 126 deals, though with notably different dollar amounts invested.

While Q3 2019 saw 12 mega deals, this latest quarter only saw three such deals reported: Vancouver-based Chinook Therapeutics’ $140 million pre-IPO round; Kitchener-based ApplyBoard’s $70 million Series C extension; and Calgary-based Attabotics’ $66 million Series C round.

Much like Q2 2020, the third quarter continued to see the largest amount of capital going towards later-stage deals. Later stage represented 45 percent of the total investment with $1.6 billion over 57 deals. Early-stage received 42 percent of investment, while eight percent went to the seed stage.

The data shows a noticeable change in early-stage venture capital investment in Canada, when compared to Q3 2019. Despite the large number of later stage mega-deals last year, early-stage companies still received the largest portion of investments, with later-stage pulling in just 23 percent.

This reflects trends that have been seen throughout 2020 where investors are looking to bolster their portfolio companies, with limited investment in new and earlier stage companies.

Investment by sector, region, private equity

Investment in the information, communication and technology sector remained strong, as did the regions that receive the most amount of capital. Ontario led the way, followed by Quebec and British Columbia.

An interesting juxtaposition to CVCA’s national report is the recent data from Hockeystick. Disclosure: BetaKit is a Hockeystick Tech Report media partner. In two reports published Wednesday, Hockeystick found that the Greater Toronto Area (GTA) and British Columbia (BC) had positive quarters for venture capital investments.

Following two disappointing quarters for venture funding of startups in the GTA, the region reached a yearly high. In BC, the tech ecosystem saw “robust venture capital deal activity” in Q3. Hockeystick’s report stated, “COVID-19 has not slowed down deal activity in the [BC] region, but its impact can be seen in the types of companies raising funds.”

Notably, Hockeystick’s data is sourced through exclusive partnerships with organizations like the CVCA and the National Angel Capital Organization, as well as data from startups using its platform and public data sources.

The CVCA also reported that private equity investment was down in Q3 2020, with $1.4 billion invested over 155 deals compared to $1.9 billion over 177 deals last year. The report stated that year-to-date private equity activity is tracking 25 percent below the four-year average in both dollars invested and deals.

Photo by Adeolu Eletu via Unsplash

Let’s block ads! (Why?)



Source link

Continue Reading

Investment

New investment in Waterloo Region soared in 2020 despite pandemic – TheRecord.com

Published

 on


WATERLOO REGION — At the start of 2020, back before most of us had even heard of COVID-19, Tony LaMantia had delivered a fairly standard economic forecast to his board of directors at the Waterloo Region Economic Development Corporation (EDC).

The Waterloo EDC is often the first point of contact for companies looking to locate, relocate or expand in Waterloo Region, and its president and chief executive had forecast they would help close about a dozen new investment deals and attract about $150 million worth of new investment to Waterloo Region in 2020.

The numbers were certainly attainable — after all, between 2016 when Waterloo EDC launched and the end of 2019, the group had helped deliver more than 40 deals and $800 million worth of investment. The forecast was also a little lower than 2019, which saw about $201 million and 15 deals.

Then COVID-19 hit, shocking the global economy. LaMantia was forced to revise and lower his projection to about five or six deals worth about $90 million, and there were several board meetings between March and May to discuss how the agency should respond.

“Unlike other organizations across the country, we didn’t retrench,” said LaMantia in an interview with The Record. “My board said … don’t worry about this year, just do what we need to do.”

When the dust settles on 2020, the Waterloo EDC will have fallen short of its early target for deals — it closed 11 by the end of October — but the agency blew past its initial investment goal of $150 million by helping to bring in more than $221 million, along with 416 new jobs to the region.

“We actually did better than 2019. That’s one hell of a story,” LaMantia said ahead of the annual Waterloo EDC public information meeting Thursday morning when the numbers were officially announced.

The final numbers for 2020 also don’t include the expansion of Amazon into Cambridge and Kitchener, and the announced expansion of Google in Kitchener — deals that were made without the direct aid of Waterloo EDC, LaMantia said, and should create hundreds of more jobs.

When the pandemic first struck, LaMantia — along with local political and business leaders — got right to work and developed a Business and Economic Support Team to help ensure two-way communication was strengthened between politicians at all levels and the business community to help both groups respond quickly to the ever-changing pandemic landscape.

One of the biggest success stories in this region in 2020 has been its ability to pivot and retool to meet the increased need for personal protective equipment (PPE). Waterloo Region went from almost no local suppliers at the start of the year to more than 90, bringing in approximately $80 million of new investment in just a few months.

LaMantia can remember calling PPE manufacturers around the world trying to secure more equipment for Waterloo Region in the earliest days of the pandemic.

“I never want to go through that again,” he said.

How did Waterloo Region respond so quickly to the need for PPE?

“The short answer is because we could,” said LaMantia. “We had the ingredients, we had the manufacturing base, we had the know-how, but more importantly there was the underlying attitude of ‘this is the need so let’s just do it.’”

In 2019, the non-profit Waterloo EDC received roughly $3 million in funding from federal, provincial and municipal governments, according to the group’s 2019 annual report. The bulk ($2 million) came from municipalities.

Including the recent 2020 numbers, the Waterloo EDC has helped close 56 deals that have brought in more than $1 billion in new investment to this community, and creating approximately 3,500 new jobs since 2016.

About 39 per cent of that investment has been in Kitchener, followed by Cambridge (37.5 per cent), Waterloo (11.9 per cent) and the Townships (11.5 per cent).

Looking ahead to 2021, it’s tough to say if Waterloo Region will continue to see strong investment as the pandemic continues. LaMantia couldn’t say for certain if there would be a lag on new investment that could spill over to next year as companies rein in spending while the pandemic drags on.

Loading…

Loading…Loading…Loading…Loading…Loading…

LaMantia is hopeful that news of numerous promising vaccines are in development, along with a new administration in the White House, could go a long way in easing global uncertainty.

“Q1 will be really, really important,” for understanding how the rest of the year will go, he said.

Waterloo EDC has forecast about six deals and about $57.5 million worth of investment in this region should close in the first few months of 2021, and even more deals worth an estimated $108 million look very promising and could close by the end of the year.

Let’s block ads! (Why?)



Source link

Continue Reading

Investment

More investment in non-profit, affordable housing is needed : Adsum for Women and Children – HalifaxToday.ca

Published

 on


With the help of federal funding, Adsum for Women and Children will be building affordable and accessible housing for up to 60 people.

Adsum, along with the North End Community Health Association and the Mi’kmaq Friendship Centre, are on the receiving end of $8.7 million through Ottawa’s Rapid Housing Initiative.

The program aims to help cities and housing providers buy properties and turn them quickly into affordable units.

Sheri Lecker is the Executive Director of Adsum for Women and Children, and says the $4 million it has been allocated will go towards 25 new apartments – nine of which will be accessible. 

“We are really committed to developing truly affordable housing for women, families, for trans, and gender non-conforming persons,” she says. “We want to build homes that people can live in for the long-term, in a neighbourhood and community that they are proud of, included and a part of.”

She says the units being creating through the rapid housing initiative are only a small amount of what is needed. 

“It’s not a secret to anyone in Nova Scotia that we are in crisis, with a lack of truly affordable housing,” she says. “What we are proposing is just a drop in the bucket of what’s needed.”

Lecker says it is inspiring one dozen non-profit housing groups submitted proposals for the funding within about a month. 

“Now we know there are lots of projects that partners can be working on to realize housing,” she says. “We need to see really deep investment, in non-profit owned affordable housing.”
 

Let’s block ads! (Why?)



Source link

Continue Reading

Trending