Stack Capital Group raises $35 million in private placement

Published 07/08/2025, 14:34
Stack Capital Group raises $35 million in private placement

TORONTO - Stack Capital Group Inc. (TSX:STCK), a company with a current market capitalization of $101 million and year-to-date returns of 18%, announced Thursday it has closed a private placement offering, raising total gross proceeds of $35 million.

The offering consisted of a "best efforts" private placement co-led by Canaccord Genuity Corp., Raymond James Ltd., RBC Capital Markets and TD Securities Inc., which raised $20 million, and a concurrent non-brokered private placement that raised an additional $15 million.

The company issued a total of 2,545,454 units at a price of $13.75 per unit. Each unit consisted of one common share and one-quarter of one common share purchase warrant. Each whole warrant entitles the holder to acquire one common share at an exercise price of $17.00 per share for a period of 24 months.

The Toronto Stock Exchange has granted approval for the listing of the shares and warrants, subject to final approval.

Stack Capital, an investment holding company focused on growth-to-late-stage private businesses, plans to use the net proceeds for investments aligned with its investment principles and for general corporate and working capital purposes. According to InvestingPro analysis, the company maintains a healthy financial position with a Financial Health Score of 2.89 (GOOD) and appears undervalued based on its Fair Value assessment.

At closing, the company paid the agents a cash fee equal to 5.0% of the gross proceeds raised. Company insiders purchased 9,162 units in the offering.

The units issued under both components of the offering are immediately freely tradeable under applicable Canadian securities legislation, according to the press release statement.

Stack Capital provides shareholders exposure to a diversified private investment portfolio while maintaining liquidity through its TSX listing. Trading at $9.47 with a price-to-book ratio of 1.08, the company offers investors an efficient way to access private market investments. SC Partners Ltd. acts as the company’s administrator and is responsible for sourcing and advising on investments. For detailed analysis and additional insights, including exclusive ProTips about investment holding companies, visit InvestingPro.

This article was generated with the support of AI and reviewed by an editor. For more information see our T&C.

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