Fax Capital to ring TSX Opening Bell and Provides Operational Update

 
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January 20, 2020, Toronto, Ontario – FAX Capital Corp. (the Company) (TSX: FXC & FXC.WT) announced that it will ring the opening bell at the Toronto Stock Exchange (TSX) on January 22, 2020 in celebration of its commencement of trading on the TSX on November 21, 2019 following its successful $190 million equity offering.

“This is an exciting milestone for FAX, and we’re proud to celebrate our successful listing on the TSX as we continue to build recognition in the capital markets and broaden our investor base,” said Blair Driscoll, the Company’s Chief Executive Officer. “I would like to take this opportunity to acknowledge and thank our valued team members, investors, and partners for their contributions to the launch of our Company. There remains a tremendous opportunity to grow our business through prudent long-term investments in the underserved and undercapitalized Canadian small-cap market which we are uniquely positioned to take advantage of.”

Operational Update

As of December 31, 2019, the Company’s unaudited book value per share was approximately $4.30. The Company’s investment team has been encouraged by its prospects and near-term opportunities and currently anticipates that it will begin deploying capital in the first quarter of 2020. In taking a thorough and patient approach to investing, the Company expects that the diligence process in reviewing and structuring potential investments will take time. The team has been working diligently to refine its potential investment pipeline and has reviewed and met with close to 100 potential investee companies. It has narrowed its focus to a handful of possible targets, including both public and private companies. The investment team is led by Marc Robinson, most recently an award-winning small cap portfolio manager at LDIC, and Nickolas Lim, who has extensive investment and M&A experience as the vice-president of permanent capital entities at Hamblin Watsa Investment Counsel (the investment management subsidiary of Fairfax Financial) and with Brookfield Asset Management.

The Company is also pleased to announce that Authi Seevaratnam has joined the investment team as Associate, Investments. Mr. Seevaratnam was previously employed with Cambridge Global Asset Management, where he spent more than three years as an equity research analyst. Mr. Seevaratnam is a CFA charterholder.  Mr. Seevaratnam will provide valuable support to the investment team in executing on the Company’s investment strategies. 

About FAX Capital Corp.

The Company is an investment holding company with a business objective to maximize its intrinsic value on a per share basis over the long-term by seeking to achieve superior investment performance commensurate with reasonable risk. The Company intends to invest in equity, debt and/or hybrid securities of high-quality businesses. The Company initially intends to invest in approximately 10 to 15 high-quality small cap public and private businesses located primarily in Canada and, to a lesser extent, the United States.

For additional information please contact:

Investor Relations:
Sophia Tang, Investor Relations
Telephone: (416) 860-6108
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.
Website: www.faxcapitalcorp.com

Media Relations:
Tim Foran
Telephone: (416) 986-8515
Email: This email address is being protected from spambots. You need JavaScript enabled to view it.

Cautionary Note Regarding Forward-Looking Information

This press release contains forward-looking information. Such forward-looking statements or information are provided for the purpose of providing information about management's current expectations and plans relating to the future. Readers are cautioned that reliance on such information may not be appropriate for other purposes. Any such forward-looking information may be identified by words such as “proposed”, “expects”, “intends”, “may”, “will”, and similar expressions. Forward-looking information contained or referred to in this press release includes, but is not limited to, the exercise of the Over-Allotment Option and the Company’s intended investment strategy.

Forward-looking statements or information are based on a number of factors and assumptions which have been used to develop such statements and information, but which may prove to be incorrect. Although the Company believes that the expectations reflected in such forward-looking statements or information are reasonable, undue reliance should not be placed on forward-looking statements because the Company can give no assurance that such expectations will prove to be correct. Factors that could cause actual results to differ materially from those described in such forward-looking information includes, but is not limited to, intention of the Agents to exercise the Over-Allotment Option, the timing upon which the Subordinate Voting Shares and Founder Warrants begin trading on the TSX and the practicality of investment opportunities. The forward-looking information in this press release reflects the current expectations, assumptions and/or beliefs of the Company based on information currently available to the Company.

Any forward-looking information speaks only as of the date on which it is made and, except as may be required by applicable securities laws, the Company disclaims any intent or obligation to update any forward-looking information, whether as a result of new information, future events or results or otherwise. The forward-looking statements or information contained in this press release are expressly qualified by this cautionary statement.

No securities regulatory authority has either approved or disapproved of the contents of this news release. The TSX accepts no responsibility for the adequacy or accuracy of this release.