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Stack Capital Group Inc. Closes Best Efforts Financing and Concurrent Non-Brokered Private Placement for Total Gross Proceeds of $35,000,000
GlobeNewswire News Room· 2025-08-07 13:22
Core Viewpoint - Stack Capital Group Inc. has successfully closed a private placement offering, raising a total of $35 million through two concurrent offerings, the LIFE Offering and a Concurrent Private Placement [1][4]. Group 1: Offering Details - The LIFE Offering generated gross proceeds of $20 million by issuing 1,454,545 units at a price of $13.75 per unit [1]. - The Concurrent Private Placement raised $15 million by issuing 1,090,909 units at the same offering price [1]. - Each unit consists of one common share and one-quarter of a common share purchase warrant, with each whole warrant allowing the purchase of one common share at an exercise price of $17.00 for 24 months [2]. Group 2: Regulatory and Trading Information - The LIFE Offering was conducted under the listed issuer financing exemption, allowing immediate trading of the unit shares and warrants under Canadian securities legislation [3]. - Units from the Concurrent Private Placement are also immediately freely tradeable, as they were issued in compliance with applicable securities laws [3]. Group 3: Use of Proceeds - The net proceeds from the Offering will be utilized for investments aligned with the company's investment principles and for general corporate and working capital purposes [4]. Group 4: Insider Participation - Certain insiders purchased a total of 9,162 units under the Offering, which is classified as a related party transaction, but exemptions from formal valuation and minority shareholder approval were applied [5]. Group 5: Company Overview - Stack Capital Group Inc. is an investment holding company focused on investing in equity, debt, and other securities of growth-to-late-stage private businesses, providing shareholders with exposure to a diversified private investment portfolio [7].
Stack Capital Group Inc. Announces Upsize to Its Previously Announced Best Efforts Private Placement Now Combined With the Non-Brokered Private Placement for Gross Proceeds of Up to $35,000,000
Globenewswire· 2025-07-25 16:35
Core Viewpoint - Stack Capital Group Inc. has announced an increase in the size of its private placement offering due to strong investor demand, raising the total expected gross proceeds to up to $35,000,000 [1][4]. Offering Details - The offering will consist of up to 1,454,545 units priced at $13.75 each, with each unit comprising one common share and one-quarter of a warrant [2]. - Each warrant will allow the holder to purchase one common share at an exercise price of $17.00 for a period of 24 months following the closing date [2]. Agents and Placement - The company has engaged Canaccord Genuity Corp., Raymond James Ltd., RBC Capital Markets, and TD Securities Inc. as co-lead agents for the offering [3]. - A concurrent non-brokered private placement of up to 1,090,909 units is also planned, aiming for gross proceeds of up to $15,000,000 [4]. Regulatory Compliance - The offering is being conducted under the listed issuer financing exemption, allowing for the sale of units without the usual prospectus requirements in Canada, except Québec [6]. - The company has applied for the listing of the unit shares, warrants, and warrant shares on the Toronto Stock Exchange [5]. Use of Proceeds - The net proceeds from the offering will be utilized for investments aligned with the company's investment principles and for general corporate purposes [9]. Closing Timeline - The offering is expected to close around August 8, 2025, subject to necessary approvals, including from the TSX [10].
Stack Capital Group Inc. Announces Best Efforts Financing and Concurrent Private Placement for Up to $25,000,000
Globenewswire· 2025-07-24 20:07
Core Viewpoint - Stack Capital Group Inc. is conducting a private placement offering to raise up to $25 million through a combination of a "best efforts" private placement and a concurrent non-brokered private placement [1][6] Group 1: Offering Details - The offering consists of up to 727,272 units priced at $13.75 per unit, aiming for gross proceeds of up to $10 million [1] - A concurrent non-brokered private placement will offer up to 1,090,909 units at the same price, targeting gross proceeds of up to $15 million [1] - Each unit includes one common share and one-quarter of a common share purchase warrant, with warrants exercisable at $17.00 per share for 24 months [2] Group 2: Regulatory and Compliance - The LIFE Offering is available to purchasers in all Canadian provinces except Québec, utilizing the listed issuer financing exemption [3] - Units sold under the concurrent private placement will also comply with applicable securities laws and will not have resale restrictions [5] - The offering is subject to necessary approvals, including from the Toronto Stock Exchange [7] Group 3: Use of Proceeds - Net proceeds from the offering will be allocated for investments aligned with the company's investment principles and for general corporate purposes [6] Group 4: Company Overview - Stack Capital Group Inc. is an investment holding company focused on investing in growth-to-late-stage private businesses, providing shareholders with exposure to a diversified private investment portfolio [11]
1847 Holdings Initiates Transition to OTCQB Market Following NYSE American Delisting Decision
Globenewswire· 2025-07-08 21:50
Core Viewpoint - 1847 Holdings LLC is transitioning its common shares to the OTCQB® Venture Market to enhance trading access and visibility for shareholders following a delisting from NYSE American [1][2]. Company Performance - The company reported a revenue growth of over 380% in Q1 2025, significant gross profit expansion, and meaningful debt reduction through strategic initiatives, including the divestiture of High Mountain Door & Trim Inc. for approximately $17 million [2]. - The company reaffirms its 2025 guidance with expected revenue exceeding $45 million and net income of approximately $1.3 million, and anticipates revenue surpassing $60 million with net income rising to approximately $5.0 million in 2026 [2]. Strategic Initiatives - The company aims to strengthen its financial performance and balance sheet by acquiring, enhancing, and monetizing undervalued businesses, which is part of its disciplined approach to value creation [2][4]. - Following the delisting from NYSE American, the company plans to reapply for listing on a national securities exchange at an appropriate time as it continues to execute its strategy [2]. Company Background - 1847 Holdings LLC is a diversified acquisition holding company that focuses on identifying overlooked, deep-value investment opportunities in middle market businesses [1][4]. - The company believes that capital market inefficiencies have left many small business stakeholders with limited exit options, allowing 1847 Holdings to acquire businesses at reasonable multiples of cash flow [4].
Barrack, Rodos & Bacine Announces Expanded Class Period in Securities Class Action Lawsuit Against Compass Group Diversified Holdings LLC (CODI) and Reminds Shareholders that They Have Less Than Two Weeks to Seek Appointment as Lead Plaintiff
GlobeNewswire News Room· 2025-06-26 21:14
Core Viewpoint - A complaint has been filed against Compass Group Diversified Holdings, LLC due to alleged irregularities in its subsidiary Lugano Holdings, Inc.'s accounting practices, leading to significant financial implications for the company and its investors [1][2][3]. Company Overview - Compass Group Diversified Holdings, LLC is an investment holding company with a subsidiary, Lugano Holdings, Inc., which operates in the jewelry sector [1]. - The company announced an investigation into Lugano, which identified "preliminarily irregularities" in accounting and inventory practices [2]. Financial Impact - Following the announcement of the investigation and the resignation of Lugano's CEO, Compass's share price plummeted by 62%, dropping from $17.25 to $6.55 per share [3]. - The Audit Committee of Compass concluded that the financial statements for 2024 should no longer be relied upon, indicating potential inaccuracies in reported financial data [2][3]. Legal Proceedings - Investors who purchased Compass stock between February 24, 2022, and May 7, 2025, are encouraged to seek appointment as lead plaintiff in a class action lawsuit against the company [1][4]. - The deadline for investors to submit a motion to be appointed as lead plaintiff is July 8, 2025 [5]. Law Firm Background - Barrack, Rodos & Bacine, the law firm handling the case, has extensive experience in prosecuting securities law class actions, including significant recoveries in past cases [6].
Stack Capital Group Inc. Announces Results of Its 2025 Annual General Meeting & Election of Directors
Globenewswire· 2025-06-26 21:00
Group 1 - Stack Capital Group Inc. held its annual meeting of shareholders where four director nominees were elected to serve until the next annual meeting [1] - The voting results showed high approval rates for the nominees, with John K. Bell receiving 99.71% of votes for and Jeffrey Parks receiving 99.99% [1] - Laurie Goldberg and Gerri Sinclair received 76.85% of votes for, with a notable 23.15% against [1] Group 2 - Shareholders approved the appointment of MNP LLP as the auditor for the upcoming year and also approved the Omnibus Long-Term Incentive Plan [2] - Stack Capital operates as an investment holding company focused on investing in growth-to-late-stage private businesses, providing shareholders with exposure to a diversified private investment portfolio [3] - The public structure of Stack Capital allows for a focus on maximizing long-term performance through a portfolio of high-growth businesses not widely available to Canadian investors [3]
Compass Diversified (CODI) Faces Crisis as Lugano Scandal Forces Downgrade, Investor Lawsuit – Hagens Berman
GlobeNewswire News Room· 2025-06-13 14:58
Core Viewpoint - Compass Diversified is facing significant challenges due to an accounting scandal at its subsidiary Lugano, leading to a stock downgrade and a class action lawsuit from investors, resulting in a loss of over 70% of its market value in three months [1][3][4]. Group 1: Stock Performance and Analyst Actions - Jefferies analysts downgraded Compass Diversified's stock from Buy to Hold due to a deepening investigation into accounting irregularities at Lugano Holdings [2][3]. - The price target for Compass's stock was slashed from $28.00 to $7.30, reflecting zero value assigned to Lugano amid expectations of a prolonged recovery [3]. Group 2: Legal and Regulatory Challenges - A securities class action lawsuit has been filed against Compass, alleging that the company misled investors regarding accounting issues at Lugano, affecting financial statements for 2024 [6][8]. - S&P Global Ratings downgraded Compass's credit rating to 'B-' and placed it on CreditWatch with negative implications due to unreliable financial statements [4]. Group 3: Company Response and Leadership Changes - In response to the crisis, Compass has entered a forbearance agreement with lenders, suspended quarterly distributions, and halted further investments in Lugano [5]. - Leadership changes occurred with Josh Gaynor appointed as interim CEO following the resignation of Lugano's founder, Moti Ferder [5]. Group 4: Historical Context and Future Implications - The acquisition of Lugano in 2021, valued at $256 million, is now viewed as risky due to alleged failures in internal controls that left investors exposed to hidden liabilities [7].
Barrack, Rodos & Bacine Reminds Shareholders that They Have Less than One Month to Seek Appointment As Lead Plaintiff in the Securities Class Action Lawsuit Against Compass Group Diversified Holdings LLC (CODI)
GlobeNewswire News Room· 2025-06-11 21:00
Core Viewpoint - Compass Group Diversified Holdings, LLC is facing legal action due to irregularities identified in its subsidiary Lugano Holdings, Inc.'s accounting and inventory practices, leading to a significant drop in its stock price [2][3]. Company Summary - Compass Group Diversified Holdings, LLC is an investment holding company with a subsidiary, Lugano Holdings, Inc., which operates in the jewelry sector [1]. - An investigation revealed "preliminarily identified irregularities" in Lugano's accounting and inventory practices, prompting Compass to state that its financial statements for 2024 should no longer be relied upon [2]. - The Audit Committee's concerns about Lugano's inventory financing led to a delay in filing the Form 10-Q for Q1 2025 [2]. Stock Performance - Following the announcement of the investigation and the resignation of Lugano's CEO, Moti Ferder, Compass's share price plummeted by 62%, from $17.25 to $6.55 per share [3]. Legal Action - Investors who purchased Compass stock between May 1, 2024, and May 7, 2025, have until July 8, 2025, to seek appointment as lead plaintiff in a class action lawsuit against the company [4][5]. - The complaint alleges that Compass failed to maintain adequate internal controls over its financial statements, making them unreliable and misleading [3]. Firm Background - Barrack, Rodos & Bacine, the law firm involved, has over 40 years of experience in prosecuting securities law class actions, achieving significant recoveries for investors in past cases [6].
Velcan Holdings: Convening Notice of the Ordinary Annual General Meeting to be Held on June 25, 2025
Globenewswire· 2025-05-23 08:00
Core Points - Velcan Holdings will hold its Ordinary Annual General Meeting on June 25, 2025, at 11 a.m. in Luxembourg to vote on the approval of the 2024 financial statements [2][4][5] - The annual management report and audit report will be available online starting April 29, 2025, with additional documents accessible from May 23, 2025 [2][3] Company Overview - Velcan Holdings is an investment holding company established in 2005, managing a global portfolio of investments [4] - The company is listed on the unregulated Euro MTF Stock Market in Luxembourg under the ticker VLCN [5]
Barrack, Rodos & Bacine Notifies Shareholders of Compass Group Diversified Holdings LLC (CODI) of a Securities Class Action Lawsuit
GlobeNewswire News Room· 2025-05-21 13:30
Core Points - A class action lawsuit has been filed against Compass Group Diversified Holdings, LLC (NYSE: CODI) for investors who purchased stock between May 1, 2024, and May 7, 2025 [1] - An investigation into Lugano Holdings, a subsidiary of Compass, revealed irregularities in accounting and inventory practices, leading to the conclusion that previously issued financial statements for 2024 should not be relied upon [2] - Following the announcement of the investigation, Compass's share price dropped by 62%, from $17.25 to $6.55 per share [3] Company Specifics - The resignation of Lugano's founder and CEO, Moti Ferder, was announced, effective immediately, with no severance compensation [3] - The lawsuit alleges that Compass failed to maintain adequate internal controls over its financial statements, making them unreliable and misleading [3] Legal and Investor Actions - Investors who purchased Compass stock during the class period and incurred losses are encouraged to contact the law firm for potential participation in the class action lawsuit [4] - The deadline for investors to submit a motion to be appointed as lead plaintiff is July 8, 2025 [5] Law Firm Background - Barrack, Rodos & Bacine has extensive experience in prosecuting securities law class actions, achieving significant recoveries in past cases [6]