Proactiveinvestors USA & Canada Atlas Engineered Products https://ca.proactiveinvestors.com Proactiveinvestors USA & Canada Atlas Engineered Products RSS feed en Sun, 26 May 2019 05:20:55 -0400 http://blogs.law.harvard.edu/tech/rss Genera CMS action@proactiveinvestors.com (Proactiveinvestors) action@proactiveinvestors.com (Proactiveinvestors) <![CDATA[Media files - Atlas Engineered Products sharpens management team and launches new product ]]> https://ca.proactiveinvestors.com/companies/stocktube/13460/atlas-engineered-products-sharpens-management-team-and-launches-new-product-13460.html Thu, 23 May 2019 09:49:00 -0400 https://ca.proactiveinvestors.com/companies/stocktube/13460/atlas-engineered-products-sharpens-management-team-and-launches-new-product-13460.html <![CDATA[News - Atlas Engineered reveals new product launch at SC Building Systems ]]> https://ca.proactiveinvestors.com/companies/news/220797/atlas-engineered-reveals-new-product-launch-at-sc-building-systems-220797.html Atlas Engineered Products Ltd (CVE:AEP) has outlined on Wednesday a new product offering at its recently acquired Manitoba-based firm SC Building Systems, which saves on labour and costs.

Customers can now order customized wall panels, said Atlas in a statement.

"This is an integral part of our growth strategy and we expect this offsite construction technology to be rolled out to all our plants across the country," said Dirk Maritz, CEO at Atlas Engineered.

READ: Atlas Engineered Products sees revenue rise as it continues on a growth course

He added that assembling such panels ahead of time, indoors in the plant, means that that delivery and construction can be timed down to the specific day.

"Added to SC's expertise in design, engineering, roof trusses and floor joists -- the result is a superior turn-key service."

The CEO highlighted a case of a three-door garage with attic, which was completed in just a single day.

"This particular project saved at least 8 labour hours of framing on a relatively small job" said SC founder and Atlas Engineered Products Vice President Lindsay Boese. "On larger projects the cost and time savings can become significant. At the end of the day it provides our clients with incredible control over their schedules and costs."

SC Building Systems has a growing customer base covering more than 25 communities in southern Manitoba.

The plant provides easy access to the large Winnipeg market, as well as offering potential entry into the northern parts of Minnesota and North Dakota. SC was AEP's sixth acquisition in just over a year, expanding its cash-flowing portfolio and footprint into a third province.

Shares added over 9% in Toronto to $0.36 each.

Contact Giles at giles@proactiveinvestors.com

Follow him on Twitter@Gile74

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Wed, 22 May 2019 09:20:00 -0400 https://ca.proactiveinvestors.com/companies/news/220797/atlas-engineered-reveals-new-product-launch-at-sc-building-systems-220797.html
<![CDATA[News - Atlas Engineered Products restocks C-suite as CFO resigns ]]> https://ca.proactiveinvestors.com/companies/news/220434/atlas-engineered-products-restocks-c-suite-as-cfo-resigns-220434.html Atlas Engineered Products (TSE:AEP) (OTCMKTS:APEUF) is revamping its executive team amid the resignation of chief financial officer William Woods.

Hadi Abassi, who founded the Canadian roof-truss specialist, was named executive vice president of strategic business development.

Brittany Ray-Wilks has been appointed executive vice president of organizational development. She’s held multiple positions at the company and will oversee the HR, IT, legal, marketing and communications departments.

READ: Atlas Engineered Products sees revenue rise as it continues on a growth course

Lindsay Boeve was tapped vice president of operational excellence with a focus on increasing plant productivity. She previously served as president of South Central Building Systems, which AEP acquired in March.

Gurmit Dhaliwal, who served as operations manager at the company’s Nanaimo subsidiary, became vice president of operations.

Melissa MacRae is stepping into the role of interim CFO. She has severed as group comptroller since the company went public in 2017. Before that, she worked for Atlas Building Systems, an AEP company.

"On behalf of the company, I would like to thank Bill for his contributions to our success since going public and wish him every success in his future roles,” CEO Dirk Maritz said. “I look forward to working with Ms. MacRae as interim CFO."

AEP is focused on acquiring and operating companies in Canada’s truss and engineered wood products industry. In just over a year, it has acquired six companies.

Contact Andrew Kessel at andrew.kessel@proactiveinvestors.com

Follow him on Twitter @andrew_kessel

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Thu, 16 May 2019 09:20:00 -0400 https://ca.proactiveinvestors.com/companies/news/220434/atlas-engineered-products-restocks-c-suite-as-cfo-resigns-220434.html
<![CDATA[News - Atlas Engineered Products sees revenue rise as it continues on a growth course ]]> https://ca.proactiveinvestors.com/companies/news/219391/atlas-engineered-products-sees-revenue-rise-as-it-continues-on-a-growth-course-219391.html Atlas Engineered Products Ltd (CVE:AEP), the roof truss specialist, continues to plot its growth course as it consolidates a fragmented industry.

The Nanaimo-headquartered group is a leading supplier of trusses and engineered wood products and now has six plants operating in British Columbia, Manitoba and Ontario.

"Our industry is fragmented, made up mostly of independent operators producing specialized products," said Dirk Maritz, president and CEO at Atlas Engineered.
In 2018, the group completed the acquisitions of Satellite Building Components Ltd, Coastal Windows Ltd and Pacer Building Components Inc and Tandelle Specialty Inc.

READ: Atlas Engineered Products completes purchase of South Central Building Systems for Manitoba growth

Today's results are for the seven months to December 31 last year, as the firm has moved its year-end date to better align with industry peers. The comparative period is for the 12 months to May 31 last year.

Due to acquistions and organic growth, revenue for the  seven months to end December was over $13.3 million, up from $11.6 million for the 12 months to end May, last year.

Revenue from its founding Nanaimo operations for the seven months were $7.4 million versus $6.1 million for the same seven-month period ended December 31, 2017, representing growth of 19%.

Due to the uptick in revenue, the net loss after adjustments and taxes for the seven months reduced to $1.2 million from a loss of $4.9 million for the 12 months to end May last year.

Consolidating operations

"We are consolidating these narrow-focused operations and delivering a fully integrated service to builders and developers both big and small. We believe that there continues to be a significant opportunity for ongoing growth through strategic acquisitions and organic improvements that contribute to bottom-line profits," added Maritz.

"We are strengthening the financial and operational performance of our acquisitions through standardized best practices, dedicated sales outreach, cost efficiencies and extended product mix. We intend to continue this strategic acquisition path moving forward."

As at the end of 2018, the firm had $1.6 million in cash.

Shares were unchanged in Toronto at $0.30.

Contact Giles at giles@proactiveinvestors.com

Follow him on Twitter@Gile74

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Tue, 30 Apr 2019 10:31:00 -0400 https://ca.proactiveinvestors.com/companies/news/219391/atlas-engineered-products-sees-revenue-rise-as-it-continues-on-a-growth-course-219391.html
<![CDATA[Media files - Atlas Engineered Products becomes national player after closing on South Central ]]> https://ca.proactiveinvestors.com/companies/stocktube/12456/atlas-engineered-products-becomes-national-player-after-closing-on-south-central-12456.html Tue, 05 Mar 2019 09:58:00 -0500 https://ca.proactiveinvestors.com/companies/stocktube/12456/atlas-engineered-products-becomes-national-player-after-closing-on-south-central-12456.html <![CDATA[News - Atlas Engineered Products completes purchase of South Central Building Systems for Manitoba growth ]]> https://ca.proactiveinvestors.com/companies/news/215833/atlas-engineered-products-completes-purchase-of-south-central-building-systems-for-manitoba-growth-215833.html Atlas Engineered Products Ltd (CVE:AEP) (OTCMKTS:APEUF) said Tuesday that it completed its acquisition of South Central Building Systems Ltd for C$2.5 million in cash and the assumption of debt.

The truss and engineered-products company said Carman, Manitoba-based South Central has a loyal and growing customer base and easy access to the Winnipeg market. It offers potential entry into northern Minnesota and North Dakota, according to Atlas.

Nanaimo, British Columbia-based Atlas paid at closing, a C$300,000 deposit against C$2.5 million in cash as well as assuming debt. Atlas said it expects the balance of the cash payment will be paid within seven to 10 days.

READ: Atlas Engineered Products annual meeting reduces number of directors at five

In addition, Atlas will pay the former shareholders of South Central, interest on the unpaid portion of the closing cash amounts at a rate of 10% per annum until that amount has been paid.

The buyer also issued a total of 1 million common shares to the former shareholders of South Central. In addition, Atlas will pay them an additional C$500,000, payable in five equal monthly installments of C$100,000 each, beginning three months after closing.

They may elect to receive these installment payments in Atlas common shares at a price of C$0.40 per share.

Shares of Atlas traded at C$0.30 in Monday’s Canadian trading. They climbed US$0.01 to US$0.22 on the OTC Markets.

Plant integration

Atlas said it continues to make progress on integration activities across all plants, cutting costs and eliminating duplication.

The company added that it has upgraded all plants to a standardized design platform, instituted centralized procurement and introduced wall panels, floor trusses and other engineered products at its Nanaimo facilities.

"We continue to make significant inroads into expanding the customer base,” Atlas CEO Dirk Maritz said in a statement.

Contact Dennis Fitzgerald at dennis@proactiveinvestors.com

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Tue, 05 Mar 2019 09:40:00 -0500 https://ca.proactiveinvestors.com/companies/news/215833/atlas-engineered-products-completes-purchase-of-south-central-building-systems-for-manitoba-growth-215833.html
<![CDATA[News - Atlas Engineered Products annual meeting reduces number of directors at five ]]> https://ca.proactiveinvestors.com/companies/news/211688/atlas-engineered-products-annual-meeting-reduces-number-of-directors-at-five-211688.html Atlas Engineered Products Ltd (CSE:AEP) said the annual general meeting of shareholders fixed the number of directors for the company at five.

The company re-elected all the incumbent directors: Dirk Maritz, Mohammad Hadi Abassi, Don Hubbard, Greg Smith and Kevin Smith.

In one year, the company said it has acquired Atlas Truss & Coastal Windows in British Columbia; Clinton Truss, Satellite Truss & Tandelle-Pacer in Ontario, and is targeting the closing of the deal for South Central Building Systems Company in early 2019, said CEO Dirk Maritz. 

BIG PICTURE: Atlas Engineered Products building significant foundations as its acquisition strategy rolls on

"Our efforts are focused on integrating these businesses to the Atlas stable and realizing cost synergies via operational excellence, in line with our acquisition strategy," he added.

Maritz said that they have "decided to reduce the members on the board to five directors" so the company can "focus on selective contracts that are value added, thus accelerating productivity through margin accretive engagements."

Shareholders also voted in favor of appointing PricewaterhouseCoopers as Atlas' auditors for the next year, and re-approved Atlas' rolling 10% stock option plan.

Atlas Engineered Products is a leading supplier of trusses and engineered wood products.

The company is based in Nanaimo, British Columbia.

Contact Rene Pastor by rene.pastor@proactiveinvestors.com

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Fri, 21 Dec 2018 12:09:00 -0500 https://ca.proactiveinvestors.com/companies/news/211688/atlas-engineered-products-annual-meeting-reduces-number-of-directors-at-five-211688.html
<![CDATA[News - Canada's new housing market stalled in October as rising interest rates and slower income put buyers off mortgages ]]> https://ca.proactiveinvestors.com/companies/news/211262/canada-s-new-housing-market-stalled-in-october-as-rising-interest-rates-and-slower-income-put-buyers-off-mortgages-211262.html Canada's housing market appears to be under pressure and it's a trend that doesn't look to be lifting any time soon.

New data this week showed that in the country, new house prices were unchanged for the third straight month.

Indeed, in traditionally the most expensive centers of Toronto and Vancouver prices fell 0.1% in October and were flat respectively.

The pace of building new homes has also slowed in both cities.

According to the Canada mortgage and housing corporation, single-family housing starts were down year to date in October this year, compared with the same period in 2017 in both Toronto (down 40.3%) and Vancouver (down 11.9%).

Single-family homes include row, single and semi-detached houses.

On a year-over-year basis, new house prices in the 27 CMAs (census metropolitan areas) surveyed in Alberta and Saskatchewan have fallen or remained flat for four months in a row.

This week, Canada Mortgage Housing Corp also revealed that fewer Canadians opened new mortgages in the second quarter (the three months to June 30) as customers were put off by rising interest rates and slower income growth.

The group said there were 205,000 new mortgages in the second quarter, down 11.9% versus a  year ago.

Watching the trends

One company that keeps an eye on Canadian housing trends is likely to be Atlas Engineered Products Ltd (CVE:AEP), which makes and supplies engineered wood products and roof trusses — the framework that supports a house's roof.

The group is expanding by buying other companies in the sector and consolidating interests, and any slowdown in new homes does not seem to be hampering its overall strategy.

This month it struck a definitive agreement to buy Manitoba-based South Central Building Systems Ltd for $3.4 million.

"With the acquisitions, we've completed to date, Atlas is on track to deliver close to $50 million top-line revenues this year – only one year into its consolidation strategy," said Atlas CEO a Dirk Marit, in its latest press release. "With our focus on efficiencies, productivity, economies-of-scale and buying power optimization we are confident we can deliver on our profitability targets as well."

Shares in the firm have risen around 14% since the beginning of December to $0.39 but are down from around $0.42 at the beginning of November this year.

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Fri, 14 Dec 2018 11:13:00 -0500 https://ca.proactiveinvestors.com/companies/news/211262/canada-s-new-housing-market-stalled-in-october-as-rising-interest-rates-and-slower-income-put-buyers-off-mortgages-211262.html
<![CDATA[Media files - Atlas Engineered Products acquires South Central Building Systems for $3.4M ]]> https://ca.proactiveinvestors.com/companies/stocktube/11492/atlas-engineered-products-acquires-south-central-building-systems-for-34m-11492.html Thu, 06 Dec 2018 09:48:00 -0500 https://ca.proactiveinvestors.com/companies/stocktube/11492/atlas-engineered-products-acquires-south-central-building-systems-for-34m-11492.html <![CDATA[News - Atlas Engineered Products continues to grow as it strikes South Central Building Systems Ltd deal; closes $4.132M placing ]]> https://ca.proactiveinvestors.com/companies/news/210703/atlas-engineered-products-continues-to-grow-as-it-strikes-south-central-building-systems-ltd-deal-closes-4132m-placing-210703.html Atlas Engineered Products Ltd (CVE:AEP), a supplier of engineered wood products, continues to grow via acquisitions and has struck a definitive agreement to buy Manitoba based  South Central Building Systems Ltd for $3.4 million.

In today's regulatory release, the group also revealed it had closed the second tranche of its non-brokered private placing, raising gross proceeds of $333,000. In total, the offering has raised $4.132 million.

On South Central, Bill Woods, CFO at Atlas, said: "The business is nimble, generates good cash flows, and quite frankly impressive controls."
Most recently in fiscal 2018, its revenues grew 35% over 2017 to $3.5 million, delivering an impressive 23% EBITDA (earnings before interest, tax, depreciation and amortization) margin.

Atlas CEO and president, Dirk Maritz, added: "This is a SMART acquisition for Atlas".

"With the acquisitions, we've completed to date, Atlas is on track to deliver close to $50 million top-line revenues this year – only one year into its consolidation strategy.

"With our focus on efficiencies, productivity, economies-of-scale and buying power optimization we are confident we can deliver on our profitability targets as well."

He added: "South Central is based in the middle of over 25+ growing communities in Southern Manitoba, can easily reach nearby Winnipeg, and huge potential into the northern parts of Minnesota and Dakota.

"Strategically, we have clearly defined our desired footprint locations, growth potential, revenue, profitability, quality of assets and people expectations – South Central, has checked every box, and we are excited to now be in the Prairies. The Atlas growth story continues."

To acquire South Central, Atlas will pay $3.4 million, consisting of $2.5 million payable on closing in the form of cash and assumption of debt, 1M Atlas shares valued at an agreed upon price of $0.40 per share, and $500,000 payable in five equal monthly installments.

In October this year, the group announced the completion of its earlier stated acquisition of manufacturer Coastal Windows Ltd. of Nanaimo, British Columbia.

Coastal has a small-footprint and high-quality window manufacturing operation that Atlas will replicate in all its operating regions across Canada.

Its revenues for the 12 months to end May this year were around $1.7 million with adjusted EBITDA (earnings before interest, tax, depreciation and amortization) of $98,000.
Also, in today's release, Atlas said it had closed the second tranche of the earlier announced financing, issuing a total of 832,500 units for proceeds of $333,000 (gross).

The total amount sold under the offering amounts to 10.33 million units for total gross proceeds of $4,132,000. The offering is now closed.

Each unit consisted of one Atlas share and one-half of one warrant. Each whole warrant entitles the holder to buy one further Atlas share for $0.60 per share for two years from issue.

Proceeds of the placing were used to acquire Tandelle Specialty Inc. and Pacer Building Components Inc. of Ilderton, Ontario, which was completed in November, with the balance planned for use in financing future acquisitions and for general working capital.

Atlas shares in Toronto added 2.44%  to $0.35 

Contact Giles Gwinnett at giles@proactiveinvestors.com

Follow him on Twitter @Gile74

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Thu, 06 Dec 2018 09:42:00 -0500 https://ca.proactiveinvestors.com/companies/news/210703/atlas-engineered-products-continues-to-grow-as-it-strikes-south-central-building-systems-ltd-deal-closes-4132m-placing-210703.html
<![CDATA[News - Atlas Engineered Products closes acquisition of Tandelle-Pacer ]]> https://ca.proactiveinvestors.com/companies/news/209618/atlas-engineered-products-closes-acquisition-of-tandelle-pacer-209618.html Atlas Engineered Products Ltd (CVE:AEP), a supplier of engineered wood products, has completed its previously announced acquisition of Tandelle Specialty Inc. and Pacer Building Components Inc. previously announced in August this year.

With the deal, Atlas adds a large and well-established truss, engineered beam and wall and floor panel business, the firm said.

It also enjoys a large, solid and growing customer base in the Greater Toronto area, entry into the Detroit, Buffalo and Rochester Market, and room to expand operations.

"Completion of this acquisition is a significant milestone for Atlas, as we add enormous engineering and design skill, manufacturing capacity and strong profitability to Atlas," said Dirk Maritz, President & CEO of Atlas.

"We now have a significant level of revenue and cash flow critical mass, which allows us to really target larger, really profitable acquisition targets, and deliver strong results for shareholders."

"Fundamentally, this transaction affirms the strength of both our acquisition and organic growth strategies with Atlas now approaching that $40m-$50m top-line revenue mark, and huge opportunity to grow organically in each of our group locations."

To acquire Tandelle-Pacer, which had unaudited revenues for the year to 31 October 2017 of around $14.4 million, Atlas paid $8.6 million on closing, based on Tandelle-Pacer having a target net working capital of $2,280,938 on closing.

The purchase price paid on closing was $8.1 million in cash, and over 1.063mln shares having an agreed upon value of $500,000.

Shares in Atlas nudged up 1.28% to $0.395.

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Tue, 20 Nov 2018 14:58:00 -0500 https://ca.proactiveinvestors.com/companies/news/209618/atlas-engineered-products-closes-acquisition-of-tandelle-pacer-209618.html
<![CDATA[Media files - Atlas Engineered Products new CEO comes with a big vision for growing the company ]]> https://ca.proactiveinvestors.com/companies/stocktube/11211/atlas-engineered-products-new-ceo-comes-with-a-big-vision-for-growing-the-company-11211.html Thu, 15 Nov 2018 14:08:00 -0500 https://ca.proactiveinvestors.com/companies/stocktube/11211/atlas-engineered-products-new-ceo-comes-with-a-big-vision-for-growing-the-company-11211.html <![CDATA[News - Atlas Engineered Products shareholder nearly triples stake ]]> https://ca.proactiveinvestors.com/companies/news/209107/atlas-engineered-products-shareholder-nearly-triples-stake-209107.html Gabriele Miss, a shareholder of Atlas Engineered Products Ltd (CVE:AEP), has increased his stake in the wood-products company and now owns 19.1% of its shares.

Miss now controls 8,437,500 shares of Atlas Engineered and three million share purchase warrants, which represents 19.11% of the issued and outstanding common shares of the company on an undiluted basis.

A series of recent share acquisitions made for investment purposes resulted in Miss seeing his stake in Atlas increase from 7.36% to 19.11%.

Atlas Engineered Products shares closed down 3.75% to hit C$0.385 on Monday.

Contact Ellen Kelleher at ellen@proactiveinvestors.com

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Tue, 13 Nov 2018 09:06:00 -0500 https://ca.proactiveinvestors.com/companies/news/209107/atlas-engineered-products-shareholder-nearly-triples-stake-209107.html
<![CDATA[News - Atlas raises $3.8M in first tranche of private offering to fund deals ]]> https://ca.proactiveinvestors.com/companies/news/208648/atlas-raises-38m-in-first-tranche-of-private-offering-to-fund-deals-208648.html Atlas Engineered Products Ltd (CVE:AEP), a supplier of engineered wood products, said Tuesday that it raised $3.8 million in the first tranche of a non-brokered placing.

Proceeds are expected to go towards the purchase of shares of Tandelle Specialty Inc and Pacer Building Components as well as general working capital purposes, Atlas said in a regulatory release.

READ: Atlas Engineered Products completes strategic acquisition of Coastal Windows

Under the private placement, Atlas sold about 9.5 million units at $0.40 each. Each unit consists of one Atlas share and one-half of one warrant. Each whole warrant entitles the holder to purchase a common share at a price of $0.60 per share for two years from the date of issuance. 

The securities issued in the first tranche are subject to a four-month and one-day holding period expiring on March 1, 2019. 

Shares of Atlas are trading at $0.41 on the TSX venture exchange.

Atlas said it has the right to accelerate the expiry of the warrants if its shares trade at a volume weighted average price greater than $0.80 per share for 20 consecutive trading days.  If exercised, the expiration date of the warrants will be accelerated to the date that is 30 days after Atlas issues a news release announcing the exercise of acceleration.

Guy Champagne, the president of Atlas, told Proactive Investors last December that growth through acquisition is a key aspect of its strategy. In February, Atlas completed its $2.6 million acquisition of Clinton Roof Truss.

The deal for Tandelle-Pacer was originally scheduled to close by October 31. Atlas, based in Vancouver, expects the purchase to close soon.

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Tue, 06 Nov 2018 10:39:00 -0500 https://ca.proactiveinvestors.com/companies/news/208648/atlas-raises-38m-in-first-tranche-of-private-offering-to-fund-deals-208648.html
<![CDATA[News - Atlas Engineered Products shares boosted as it posts record revenue in first quarter; names new CEO ]]> https://ca.proactiveinvestors.com/companies/news/207410/atlas-engineered-products-shares-boosted-as-it-posts-record-revenue-in-first-quarter-names-new-ceo-207410.html Atlas Engineered Products Ltd (CVE:AEP), a supplier of engineered wood products, revealed it had a strong start to its fiscal year and that it has appointed a new chief executive as it embarks on its next phase of growth.

Results for the first quarter to end August showed record revenue of $5.08 million - up more than 85% from the previous year. Cost of sales for the three months was $3.7 million versus $1.1 million for the same period in 2017. Gross margins remained stable at 27.1%.

WATCH: Atlas Engineered Products hires new CEO and reports Q-1 results

Revenue for the three months from Atlas's core business in Nanaimo, British Columbia was $3.19 million, representing year-on-year organic growth of 17% from the same period last year.

Revenue from the Clinton, Ontario operations for the first quarter came in at $1.6 million versus $1.1 million under operation by previous owners, representing year-over-year organic growth in the Clinton operations of 46.0%.

The balance of revenues during the three months was provided by the Truebeam and Satellite plants.

"We had a strong start to the year, with first quarter 2018 revenue at record levels and operating results that are ahead of plan," said Guy Champagne, president of Atlas.

"I'm confident we can expect adjusted EBITDA margins to continue improving over the coming quarters as we execute on our M&A and integration strategy and the costs incurred to build infrastructure are overtaken by growth in contribution margin from operations.

"Organic revenue growth continues to gain momentum in both key regions we operate in, and our acquisition strategy is proving out."

Appointment

The board of Atlas also announced today that after a diligent executive recruitment process, it had appointed Dirk Maritz as its president and CEO, to start on November 5 this year.

He joins Atlas from SMS Equipment Inc, where he has served since 2012.

His most recent role with SMS Equipment in Canada demonstrates his ability to lead a highly complex and diverse multi-territory business and operate at the highest levels, Atlas added.

Champagne said of Maritz:  "He is an accomplished and proven corporate leader adept at developing strategy, building teams, inspiring excellence and generating results. I look forward to the impact he will bring to the performance and value of Atlas."

Both Hadi Abassi (the current CEO) and Guy Champagne will remain directors of Atlas and continue to serve the company as advisors.

Atlas Engineered Products Ltd added 5% in Toronto to stand at $0.42 each.

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Thu, 18 Oct 2018 12:33:00 -0400 https://ca.proactiveinvestors.com/companies/news/207410/atlas-engineered-products-shares-boosted-as-it-posts-record-revenue-in-first-quarter-names-new-ceo-207410.html
<![CDATA[Media files - Atlas Engineered Products hires new CEO and reports Q-1 results ]]> https://ca.proactiveinvestors.com/companies/stocktube/10899/atlas-engineered-products-hires-new-ceo-and-reports-q-1-results-10899.html Wed, 17 Oct 2018 22:15:00 -0400 https://ca.proactiveinvestors.com/companies/stocktube/10899/atlas-engineered-products-hires-new-ceo-and-reports-q-1-results-10899.html <![CDATA[News - Atlas Engineered Products completes strategic acquisition of Coastal Windows ]]> https://ca.proactiveinvestors.com/companies/news/206324/atlas-engineered-products-completes-strategic-acquisition-of-coastal-windows-206324.html Atlas Engineered Products Ltd (CVE:AEP), a supplier of engineered wood products, said it had completed its earlier announced acquisition of manufacturer Coastal Windows Ltd. of Nanaimo, British Columbia, sending shares up.

In total, Atlas paid $650,000, which consisted of 869,565 valued at $400,000 and $125,001 in cash issued and paid on closing. It must also pay a further $124,999 within 30 days after closing.

READ: Atlas Engineered Products shares bulk up as financial results beat expectations

"The Coastal acquisition is a very important element in the long-term strategy being executed by Atlas," said Guy Champagne,  the president of Atlas.

"Coastal has perfected a small-footprint and high-quality window manufacturing operation that Atlas will replicate in all its operating regions across Canada.

"Eventually, Atlas will offer all of its customers the option of filling the window openings in the prefabricated walls that Atlas supplies with Coastal's high-quality windows.

"This will eventually provide Atlas with a greater wallet share of the construction projects it is able to supply.

"This acquisition builds on our long-term commitment to provide our construction industry partners with the full array of components and assemblies they might require for their projects from design to lockup."

Coastal revenues for the 12 months to end May this year were around $1.7 million with adjusted EBITDA (earnings before interest, tax, depreciation and amortisation) of $98,000 and is expected to have net working capital of around $250,000 at closing.

Atlas said it will implement measures over the coming year that it expects will drive stronger gross margins and profits for its Coastal Windows business unit.

Shares in Atlas Engineered added 5.26% in Toronto to stand at $0.40.

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Wed, 03 Oct 2018 11:48:00 -0400 https://ca.proactiveinvestors.com/companies/news/206324/atlas-engineered-products-completes-strategic-acquisition-of-coastal-windows-206324.html
<![CDATA[News - Atlas Engineered Products shares bulk up as financial results beat expectations ]]> https://ca.proactiveinvestors.com/companies/news/205462/atlas-engineered-products-shares-bulk-up-as-financial-results-beat-expectations-205462.html Shares in Atlas Engineered Products Ltd (CVE:AEP), a supplier of trusses, engineered wood products and building components, bulked up in Toronto as it said it had registered record quarterly and annual revenues.

Revenue for the three months to May 31 was around C$3.9mln - 93.3% higher than in the same period last year, and recognizing the full impact of the Clinton acquisition.

Based on this, Atlas said it expects annualized revenues of approximately US$18.1mln combined for the Atlas and Clinton operations.

Meanwhile, revenue for the full year to end May was around C$11.6mln - up from C$8.076mln for the previous year, representing an overall growth in revenue from the prior year of 43.6%.

"We are very pleased that our growth and financial results to date have met or exceeded our 2018 stated objectives, which are right on plan," Guy Champagne, the president of Atlas, told investors.

"The annualized revenue and adjusted EBITDA margin targets we have been communicating to the investment community are $50 million and 15%, respectively.

"We consider these very achievable and expect to enter 2019 at that annualized revenue threshold as we continue to make accretive acquisitions of good companies whose revenues we can grow organically as well."

Revenue from acquisitions for the year were was C$1.25mln - representing 10.8% the Company's revenues for the year.

The cost of sales for the year was higher at C$8.7mln versus C$5.9mln, due to increased sales and an increase in raw material costs, while gross margins slipped slightly from 25.9% to 24.8%, notwithstanding a significant increase in lumber costs.

The net loss of the year was around C$4.9ln, versus a net loss of $793,043 ($731.73 per share) for the twelve months ended May 31, 2017.   The increase was mainly the result of listing expenses recognized as a result of the reverse takeover (RTO) with Archer Petroleum.

Atlas Engineered shares added 7.32% to C$0.44.

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Fri, 21 Sep 2018 12:18:00 -0400 https://ca.proactiveinvestors.com/companies/news/205462/atlas-engineered-products-shares-bulk-up-as-financial-results-beat-expectations-205462.html
<![CDATA[Media files - Atlas Engineered Products acquisition gives them a strong presence in Ontario and U.S. ]]> https://ca.proactiveinvestors.com/companies/stocktube/10116/atlas-engineered-products-acquisition-gives-them-a-strong-presence-in-ontario-and-us-10116.html Tue, 14 Aug 2018 12:17:00 -0400 https://ca.proactiveinvestors.com/companies/stocktube/10116/atlas-engineered-products-acquisition-gives-them-a-strong-presence-in-ontario-and-us-10116.html <![CDATA[News - Atlas Engineered Products says latest acquisition gives it strategic advantage; announces financing up to C$5mln ]]> https://ca.proactiveinvestors.com/companies/news/202876/atlas-engineered-products-says-latest-acquisition-gives-it-strategic-advantage-announces-financing-up-to-c5mln-202876.html Atlas Engineered Products (CVE:AEP), a supplier of trusses, engineered wood products and building components, announced Tuesday another key transaction alongside a financing for up to C$5mln.

The company is set to buy Tandelle Specialty Inc and Pacer Building Components Inc (Tandelle-Pacer) of Ilderton, Ontario, which had revenue for its year to end October of around C$14.4mln.

On closing, Tandelle-Pacer’s chief executive and president Dave Howard will be invited to join the board at Atlas.

Key transaction

"The Tandelle-Pacer acquisition is expected to be a key transaction for Atlas that gives us a huge strategic advantage in a market in which we are already invested," said Guy Champagne, president at Atlas.

"We will be acquiring an established truss, engineered beam and wall and floor panel business with room to expand operations with ease, a very experienced management team to look after our other sites in Ontario, a large solid and growing customer base in the Greater Toronto area, and entry into the Detroit, Buffalo and Rochester markets," he added.

Atlas also announced a non-brokered private placing of up to 12.5mln shares at C$0.40 a share to raise up to C$5mln.

  Net proceeds will be used for acquisitions

The net proceeds will be used for acquisition purposes, general working capital and partially for the acquisition of Tandelle-Pacer, it said.

For this, Atlas will pay C$8.6mln on closing, based on Tandelle-Pacer having a targeted net working capital of around C$2.28mln.

Subject to adjustments, based on Tandelle-Pacer’s actual net working capital at closing, the purchase price is expected to consist of C$500,000 in Atlas shares, and C$8.1 million in cash.

The closing of the acquisition is expected to occur on or before October 31 this year.

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Tue, 14 Aug 2018 11:05:00 -0400 https://ca.proactiveinvestors.com/companies/news/202876/atlas-engineered-products-says-latest-acquisition-gives-it-strategic-advantage-announces-financing-up-to-c5mln-202876.html
<![CDATA[News - Atlas Engineered Products signs agreement to acquire Coastal Windows ]]> https://ca.proactiveinvestors.com/companies/news/202140/atlas-engineered-products-signs-agreement-to-acquire-coastal-windows-202140.html Atlas Engineered Products (CVE:AEP), a supplier of trusses, engineered wood products and building components, announced on Thursday that it has entered into an agreement to acquire all the issued and outstanding shares of Coastal Windows Ltd. of Nanaimo, British Columbia.

In addition, Atlas also announced that it has completed the acquisition of Satellite Truss Ltd. of Merrickville, Ontario.

“The Coastal acquisition is very important to Atlas at this time. Coastal has perfected a small-footprint and high-quality window manufacturing operation that Atlas will replicate in all its operating regions across Canada," said Atlas president, Guy Champagne.

"It builds on our long-term commitment to supply our construction industry partners with the full array of components and assemblies they might require for their projects – from design to lockup.”

READ: Atlas Engineered Products building firm foundations as its acquisition strategy rolls on

To acquire Coastal, Atlas has agreed to pay a total of C$650,000, consisting of C$400,000 in Atlas common shares and C$125,000 in cash on closing, and C$125,000 in cash one month after closing.

The Atlas common shares to be issued will be based on a 20-day volume weighted average price prior to the date of signing the purchase agreement. 

The current CEO of Atlas, Mr. Hadi Abassi is the sole shareholder of Coastal.

The company said due to the non-arms-length nature of this transaction, it has been reviewed and approved by the Atlas board of directors prior to closing.

Atlas finalizes Satellite Truss acquisition

Atlas also released news Thursday that it has finalized its Satellite Truss acquisition. The Merrickville, Ontario company will help the company diversify its product mix and is expected to add annualized revenues between the C$1.5 million achieved for the year ending October 31 and C$2.1 million targeted over the next year. 

Atlas paid C$1.2 million in cash for Satellite Truss in a transaction which includes tangible assets of C$590,000 for land and buildings, C$212,000 for equipment, and C$300,000 in working capital.

The purchase price is being financed using a C$442,500 term loan, a C$212,800 equipment lease, and the balance in cash from the company’s reserves.

Shares of Atlas were at C$0.48, down 2.04% on Thursday. 

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Thu, 02 Aug 2018 12:26:00 -0400 https://ca.proactiveinvestors.com/companies/news/202140/atlas-engineered-products-signs-agreement-to-acquire-coastal-windows-202140.html
<![CDATA[Media files - Atlas Engineered Products makes second acquisition in Ontario with Satellite Truss deal ]]> https://ca.proactiveinvestors.com/companies/stocktube/9908/atlas-engineered-products-makes-second-acquisition-in-ontario-with-satellite-truss-deal-9908.html Thu, 19 Jul 2018 11:58:00 -0400 https://ca.proactiveinvestors.com/companies/stocktube/9908/atlas-engineered-products-makes-second-acquisition-in-ontario-with-satellite-truss-deal-9908.html <![CDATA[News - Atlas Engineered Products building significant foundations as its acquisition strategy rolls on ]]> https://ca.proactiveinvestors.com/companies/news/200958/atlas-engineered-products-building-significant-foundations-as-its-acquisition-strategy-rolls-on-200958.html Wood product group Atlas Engineered Products Ltd (CVE:AEP) is growing fast, underscored by the fact it has made several acquisitions already this year.

President of the roof truss specialist Guy Champagne told Proactive last December how the central plank, pardon the pun, of his firm's strategy was making acquisitions, slowly but surely  (not that slow perhaps), of owner-managed companies from those wishing to retire or develop their brands.

He  said that over the next three years, he is growing Atlas up to the C$50mln company which something, which has been promised to shareholders, and recent quarterly and annual revenue figures showed a company on form.

WATCH: Atlas Engineered Products building a strong future Acquisitions roll on

This month (October) Atlas said it had completed its earlier announced acquisition of manufacturer Coastal Windows Ltd, of British Columbia

Coastal has perfected a high-quality window manufacturing operation that Atlas will replicate in all its operating regions across Canada.

Coastal revenues for the 12 months to end May this year were around $1.7 million.

And in August this year, the firm unveiled another key transaction alongside a financing for up to C$5mln.

It revealed it was posied to buy Tandelle Specialty Inc and Pacer Building Components Inc (Tandelle-Pacer) of Ilderton, Ontario, which had revenue for its year to end October of around C$14.4mln.

And in July, it said it was buying buying Satellite Truss Ltd for C$1.2mln in cash, thereby making the Atlas mark in the eastern Ontario market

Satellite had revenue last year of around C$1.5mln and it also owns real estate assets with an appraised value of C$590,000, and equipment assets of C$212,000.

And in March it said it had bought the operating assets including equipment, inventory, and trademarks of Alberta Truebeam Ltd (Truebeam), leased the land and buildings in which Truebeam operates, and hired all the Truebeam employees.

Truebeam supplies trusses and engineered wood products to residential development projects in Northern Alberta and Northwest British Columbia.

Most notably perhaps is that the Truebeam operation will contribute strong positive cash flow to Atlas and an estimated C$2.4mln in profitable revenue during the 2018 calendar year.

And the month before that - in February, the group inked a binding letter of intent to buy Highwood Trusses Ltd, in Alberta, which has annual sales of over C$3.5mln, as well as strong profitability.

As announced last year, it also bought Ontario- based Clinton Roof Truss Ltd for C$2.1mln in cash.

The purchase included 31,000 sq feet (sq ft) of plant, warehouse and office space on a five acre site, positioned to provide access to the growing Ontario communities west of Mississauga.

Decent numbers..

Last month (September) the group said it had registered record quarterly and annual revenues.

Revenue for the three months to May 31 was around C$3.9mln - 93.3% higher than in the same period last year, and recognizing the full impact of the Clinton acquisition.

Based on this, Atlas said it expects annualized revenues of approximately US$18.1mln combined for the Atlas and Clinton operations.

Meanwhile, revenue for the full year to end May was around C$11.6mln - up from C$8.076mln for the previous year, representing an overall growth in revenue from the prior year of 43.6%.

"We are very pleased that our growth and financial results to date have met or exceeded our 2018 stated objectives, which are right on plan," said Champagne.

"The annualized revenue and adjusted EBITDA margin targets we have been communicating to the investment community are $50 million and 15%, respectively.

"We consider these very achievable and expect to enter 2019 at that annualized revenue threshold as we continue to make accretive acquisitions of good companies whose revenues we can grow organically as well."

What does the company do?

Trusses, for those not handy with a hammer, are the pre-fabricated, triangular frameworks that support a house’s roof.

The truss industry in North America is ripe for a company such as Atlas to consolidate, as many truss fabricators are local businesses run by owner-operators nearing retirement.

Often, there is no obvious successor to pass their business to, or to whom they can sell it.

Once the number of companies under the umbrella grows large enough, Champagne has said there are other products, such as I-joists and engineered beams, that Atlas can sell.

And critical mass also brings the potential to transfer skillsets across regions.  Engineers used to creating technically complex truss designs for a high-end market such as Vancouver, for example, can lend those talents to truss plants in other markets where access to such expertise is hard to come by.

Atlas Engineered Products shares are at $0.385.

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Tue, 17 Jul 2018 06:35:00 -0400 https://ca.proactiveinvestors.com/companies/news/200958/atlas-engineered-products-building-significant-foundations-as-its-acquisition-strategy-rolls-on-200958.html
<![CDATA[News - Atlas Engineered Products' acquisition strategy rolls on with Satellite Truss deal ]]> https://ca.proactiveinvestors.com/companies/news/200777/atlas-engineered-products-acquisition-strategy-rolls-on-with-satellite-truss-deal-200777.html Wood product and roof truss group Atlas Engineered Products Ltd (CVE:AEP) is set to make a mark in the eastern Ontario market as it revealed it was buying Satellite Truss Ltd for C$1.2mln in cash.

The latter's revenues for its year to end  October last year were around C$1.5mln.

READ: Atlas Engineered Products Q3 revenue rises 18%, set to hit 12-month revenue target

Satellite also owns real estate assets with an appraised value of C$590,000, and equipment assets of C$212,000.

"The Satellite purchase is a positioning investment that represents an important step in Atlas' growth in the Eastern Ontario marketplace," Guy Champagne, president of Atlas, told investors.

"Satellite has strong growth potential and provides Atlas with a very good location from which to supply truss and building component products to progressive builders in Ottawa, Kingston, Cornwall and surrounding areas."

Satellite's general manager has agreed to stay on with the firm for three years after closing, which remains subject to conditions, including Atlas' due diligence investigations.

Atlas also announced on Friday, additions to its management team. Bart Boos becomes vice-president (VP) of sales and Kent Flint becomes VP of strategy, people and culture.

Boos will design and execute Atlas' national sales strategy, while Flint will be responsible for corporate strategy and will oversee its aggressive acquisition programme.

WATCH: Atlas Engineered Products enjoys record Q2 and completes milestone Clinton Roof Truss acquisition

Champagne added: "The addition of Bart and Kent is part of the Atlas strategy to build and work with the best leadership team in the industry.

"Both these individuals are extremely accomplished executives and bring deep experience in their respective areas to Atlas' leadership team.

"Atlas is continuing to grow at a very rapid pace. We see this rate of growth continuing for the foreseeable future, know how vital it is to have strong leadership, and are assembling an executive team worthy of the company we are building."

Atlas aims to grow its base of business across Canada.

In March this year, it bought the operating assets including equipment, inventory, and trademarks of Alberta Truebeam Ltd (Truebeam), leased the land and buildings in which Truebeam operates, and hired all the Truebeam employees.

A month earlier, it completed its acquisition of Ontario-based Clinton Roof Truss Ltd, which was announced in December.

The same month it announced the purchase of Highwood Trusses Ltd.

Highwood is in High River Alberta and has annual sales of over C$3.5mln, as well as strong profitability, and very capable operational leadership, the firm had said.

Shares in Toronto added nearly 12% to C$0.47.

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Fri, 13 Jul 2018 09:53:00 -0400 https://ca.proactiveinvestors.com/companies/news/200777/atlas-engineered-products-acquisition-strategy-rolls-on-with-satellite-truss-deal-200777.html
<![CDATA[News - Atlas Engineered Products Q3 revenue rises 18%, set to hit 12-month revenue target ]]> https://ca.proactiveinvestors.com/companies/news/196089/atlas-engineered-products-q3-revenue-rises-18-set-to-hit-12-month-revenue-target-196089.html Atlas Engineered Products Ltd (CVE:AEP) said its third quarter revenue growth surged by 18% from the previous quarter and was up 26% for the nine-months to February.

In a statement, the company said that its third quarter numbers reflected the impact of the costs associated with adding to the management team, infrastructure to support growth and expenses pertaining to its acquisition and expansion programme.

READ: Atlas Engineered Products hires experienced executive Woods as chief financial officer

Gross margins for the quarter stood at 24%.

Adjusted Earnings before interest, taxes, depreciation and amortisation (EBITDA) fell to C$83,830 from C$222,722 due to the higher costs associated with the company’s acquisitions.

Atlas Engineered, which had set a 12-month revenue target of C$50mln with a 15% EBITDA margin, said: “On a pro-forma basis, the acquisition targets the company presently has under consideration will enable those targets to be achieved.”

Guy Champagne, President of Atlas, said: “We are very pleased that our Atlas Nanaimo operation has been able to support the significant investments we have made in launching our growth strategy.

"This is a testament to how strong our core business is and provides a very stable foundation for rapid growth.  Next quarter’s will affirm the positive financial impacts of our Clinton and Truebeam operations.”

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Mon, 30 Apr 2018 15:11:00 -0400 https://ca.proactiveinvestors.com/companies/news/196089/atlas-engineered-products-q3-revenue-rises-18-set-to-hit-12-month-revenue-target-196089.html
<![CDATA[News - Atlas Engineered Products hires experienced executive Woods as chief financial officer ]]> https://ca.proactiveinvestors.com/companies/news/195083/atlas-engineered-products-hires-experienced-executive-woods-as-chief-financial-officer-195083.html Shares in wood product and roof truss group Atlas Engineered Products Ltd (CVE:AEP) surged as it revealed it has a new finance chief - experienced executive William (Bill) Woods.

"His experience will be invaluable to us as we pursue our growth strategy and integrate the finances, operations and systems of the diverse acquisitions we complete," said Guy Champagne, president of Atlas

Woods has two decades' experience in senior and executive roles with established companies, as well as with various start-ups.

He previously held the positions of CFO (chief financial officer) and chief operating officer of Athabasca Minerals, CFO of Cardio-Metabolics, CFO of Liberty Mines, and served as vice-president of finance for companies in the transportation, manufacturing and business brokerage fields, it added.

Last month, Atlas announced an expansion into northern Alberta.

The group said it had bought the operating assets including equipment, inventory, and trademarks of Alberta Truebeam Ltd (Truebeam), leased the land and buildings in which Truebeam operates, and hired all the Truebeam employees.

Significantly, the Truebeam operation will contribute strong positive cash flow and an estimated C$2.4mln in profitable revenue during the 2018 calendar year, Atlas said.

Shares today added 8.16% to C$0.53.

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Mon, 16 Apr 2018 15:06:00 -0400 https://ca.proactiveinvestors.com/companies/news/195083/atlas-engineered-products-hires-experienced-executive-woods-as-chief-financial-officer-195083.html