Clairvest Reports Fiscal 2021 First Quarter Results

TORONTO, Aug. 11, 2020 (GLOBE NEWSWIRE) -- Clairvest Group Inc. (TSX: CVG) today reported results for the fiscal 2021 first quarter ended June 30, 2020 and material events which occurred subsequent to quarter end. (All figures are in Canadian dollars unless otherwise stated)

Highlights

• June 30, 2020 book value was $893.0 million or $59.27 per share versus $837.4 million or $55.55 per share as at March 31, 2020
• Net income for the first quarter of fiscal 2021 was $64.4 million or $4.27 per share
• Clairvest and Clairvest Equity Partners VI (“CEP VI”) completed a US$29.3 million equity investment in NovaSource Power Services (“NovaSource”). Subsequent to quarter end, NovaSource announced agreement to acquire First Solar Energy Services
• Clairvest and CEP VI completed a US$10.0 million equity investment in Arrowhead Environmental Partners (“AEP”)
• Subsequent to quarter end, Digital Media Solutions (“DMS”), an investee company of Clairvest and Clairvest Equity Partners V (“CEP V”), completed its transaction with Leo Holdings Corp., becoming a publicly traded company on the NYSE (NYSE: DMS)
• Subsequent to quarter end, Clairvest paid an annual ordinary dividend of $1.5 million, or $0.10 per share, and a special dividend of $6.9 million, or $0.4555 per share, both declared during the first quarter of fiscal 2021 and paid on July 24, 2020

Clairvest’s book value was $893.0 million or $59.27 per share as at June 30, 2020, compared with $837.4 million or $55.55 per share as at March 31, 2020. The increase in book value per share for the quarter was primarily attributable to net income for the quarter of $64.4 million, or $4.27 per share net of $8.4 million or $0.5555 per share of dividends accrued as at June 30, 2020. The net income arose from the increase in a number of the investee company values, partially offset by declines in others.

In May 2020, Clairvest and CEP VI made a US$29.3 million investment to acquire a combined 86% ownership in the solar operations and maintenance business of SunPower Corporation. Upon closing, the acquired business unit was renamed NovaSource Power Services. Clairvest’s portion of the investment was US$8.3 million (C$11.4 million) following a partial sale down to NovaSource management for an effective 24% ownership in NovaSource. Subsequent to quarter end, NovaSource announced it had entered into an agreement with First Solar, Inc. to acquire its operations and maintenance division, First Solar Energy Services. The transaction will be funded through a combination of third-party term debt and equity from Clairvest and CEP VI. The proposed transaction is subject to customary closing conditions, including obtaining various contractual consents and regulatory approvals, and is anticipated to close in late calendar 2020. There can be no assurance that the transaction will be consummated.