Business
Black Diamond Group Limited Announces Strategic Acquisition of Royal Camp Services for $165 Million
CALGARY, Alberta, Sept. 22, 2025 (GLOBE NEWSWIRE) -- Black Diamond Group Limited (“Black D...
About this update from Black Diamond Group Limited
[{"type":"text","content":"Black Diamond Group Limited Announces Strategic Acquisition of Royal Camp Services for $165 Million\n\n\n\n CALGARY, Alberta, Sept. 22, 2025 (GLOBE NEWSWIRE) -- Black Diamond Group Limited (“Black Diamond”, or the “Company”) (TSX: BDI), a leading provider of space rentals and workforce accommodation solutions, today announced it has entered into a definitive share purchase agreement (the “Share Purchase Agreement”) to acquire (the “Acquisition”) all of the issued and outstanding shares (the “Purchased Shares”) of Royal Camp Services Ltd. (“Royal”) for $165 million, subject to adjustment (the “Purchase Price”).\n \n\n Pursuant to the terms and conditions of the Share Purchase Agreement, the Purchase Price is payable in cash or, at the option of the vendors of the Purchased Shares, a combination of cash and up to an aggregate of 4,000,000 common shares in the capital of Black Diamond (the “Consideration Shares”), at a deemed price of $12.08 per Consideration Share based on the 10-day volume weighted average price of Black Diamond’s common shares as of the date of the Share Purchase Agreement. The cash portion of the Purchase Price will be drawn from the Company’s asset-based credit facility (the “Facility”). Closing of the Acquisition is subject to the satisfaction of certain regulatory approvals, including but not limited to clearance under the\n \n Competition Act\n \n (Canada). Black Diamond anticipates completing the Acquisition prior to the end of 2025.\n \n\n The Acquisition is expected to be highly accretive to Black Diamond with valuation based on the mid-point of a three-year Adjusted EBITDA range for Royal of $31 to $41 million, excluding anticipated synergies. Management estimates that the fair market value of tangible net assets to be acquired in the Acquisition are approximately equivalent to the Purchase Price.\n \n\n On combination, Black Diamond anticipates that the Acquisition will create a premier integrated workforce accommodations and catering business with nearly 12,000 rooms of capacity across Canada. The combined Canadian workforce accommodations business of Black Diamond and Royal will have over 600 employees, of which approximately 250 are Indigenous. Black Diamond and...