ISC sells Dye & Durham minority stake for $25M

Information Services Corporation (TSX: ISV) has sold its 30% interest in Dye & Durham Corporation (D&D) to the other shareholders of D&D for $25 million in cash.

On September 2, 2015, ISC completed a $3.3 million investment in OneMove Technologies Inc., acquiring 30% of the issued and outstanding voting common shares.

Matthew Proud and brother Tyler Proud, through Plantro Ltd., took OneMove Technologies Inc. in 2013.

OneMove Technologies acquired 100% of D&D in February 2016 and 51% of Easy Convey Limited in April 2016. Dye & Durham acquired100% of OnCorp Direct Inc. in March 2017.

ISC contributed further $3.7 million, representing its pro rata share of equity raises by Dye & Durham to fund the three acquisitions, maintaining ISC’s 30% ownership interest.

Dye & Durham is reportedly weighing a potential initial public offering (IPO).

Jeff Stusek, President and CEO commented, “ISC has been very pleased with its investment in D&D. However, the time is right to divest and to focus on our other growth objectives and core business, deploying our capital resources at the appropriate time. We would like to congratulate D&D on its growth during our time as a shareholder and wish Matthew Proud, CEO of D&D, and his team continued success.”

Origin Merchant Securities Inc. acted as exclusive financial advisor to ISC on this transaction.

photo credit: Dye & Durham Corporation

Ted Liu

Ted Liu, M.Sc. (Mining), MBA (Finance), is the Editor of Private Capital Journal and CanadaMetals.ca, and former Editor of Canadian Private Equity. Ted has been passionately tracking Canadian private capital industry since 1992, most recently served as Research Director for The Canadian Venture Capital and Private Equity Association (CVCA). Ted was the architect of CVCA infobase, and is the architect of CPE Media's Financings.ca, the most sophisticated and advanced all private capital and public market financing database.