News & Media



May 15, 2020, Toronto, Ontario - FAX Capital Corp. (FAX Capital or the Company) (TSX: FXC & FXC.WT) today introduced its initial investments and announced its results for the three months ended March 31, 2020.

Operating Highlights:
  • Deployed $35.3 million of capital during the period into three public company investments: Hamilton Thorne Ltd. (TSXV:HTL), Information Services Corp. (TSX:ISV) and Points International Ltd. (TSX:PTS) (Nasdaq:PCOM).
  • Book value of $4.13 per subordinate voting share and multiple voting share (collectively, the shares), down 4.8% from Q4 2019, with outperformance during the period relative to the broader Canadian market driven primarily by the Company’s substantial cash balance.
  • Held a cash balance at the end of the quarter available to be invested of $151.5 million, or $3.52 per share.
  • Subsequent to quarter-end, invested a further $23.0 million, including an additional public company investment into People Corporation (TSXV:PEO), partially executed through a private placement led by FAX Capital. This has reduced the Company’s cash balance by approximately the amount of the subsequent investments.

“Following the recent decline in equity markets, we have been actively deploying capital to take advantage of attractive valuations and establish significant early positions in high quality, growing, cash flow generative companies,” said Blair Driscoll, the Company’s Chief Executive Officer. “We’ve focused our investments on businesses that exhibit durable competitive advantages, operate with strong balance sheets and are led by capable and aligned management teams.”

“As a permanent capital investment vehicle, we have the ability to invest for the long-term and be opportunistic during times of market volatility. We maintain an active investment pipeline and expect the current market environment will provide openings to take advantage of attractive investment opportunities. In taking a thorough and patient approach to investing, however, we will not waiver from our disciplined diligence process in reviewing and structuring potential transactions, and will take our time to ensure only the highest quality investments are made.”

Results for the Quarter Ended March 31, 2020

During the quarter ended March 31, 2020, the Company’s book value per share decreased 4.8% from $4.34 per share at December 31, 2019 to $4.13 per share as at March 31, 2020. The 4.8% decrease is primarily attributed to the Company incurring an unrealized loss on its investments of $9.1 million in the quarter.

The favourable performance of the book value per share relative to the overall Canadian equity markets was largely attributed to the significant portion of the Company’s investable assets held in cash during this period and not exposed to the increased volatility from COVID-19.

Net loss for the quarter ended March 31, 2020 was $9.1 million, compared to a net loss of $56.9 thousand in the quarter ended March 31, 2019. During the quarter ended March 31, 2020, the Company had unrealized losses on its investments of $9.1 million.

For the three months ended March 31, 2020, FAX Capital’s basic and diluted loss per share was ($0.21), compared to a basic and diluted loss per share of ($0.07) for the same period in 2019.

Additional commentary on our investment activity can be found in the Company’s Management’s Discussion & Analysis for the quarter year ended March 31, 2020, available under the Company’s profile at and on the Company’s website at

Other Information

Further information about FAX Capital, including FAX Capital’s Condensed Interim Financial Statements and Management’s Discussion & Analysis for the quarter ended March 31, 2020, is available under the Company’s profile at and, as is the Company’s recently published first Annual Letter to Shareholders. Supplemental materials in respect of the Company’s first quarter 2020 can be accessed on the Company’s website.

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.

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 Statement Regarding Use of Non-IFRS Accounting Measures

This press release makes reference to the Company’s book value per share as a measure of the performance of the Company as a whole. Book value per share is measured by dividing shareholders’ equity of the Company at the date of the statement of financial position by the number of common shares outstanding at that date. The Company’s method of determining this amount may differ from other companies’ methods and, accordingly, this amount may not be comparable to measures used by other companies. This amount is not a performance measure as defined under International Financial Reporting Standards (IFRS) and should not be considered either in isolation of, or as a substitute for, net earnings prepared in accordance with IFRS.

Cautionary Note Regarding Forward-Looking Information

This press release contains forward-looking information. Such forward-looking information or statements (FLS) 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 FLS may be identified by words such as “proposed”, “expects”, “intends”, “may”, “will”, and similar expressions. FLS contained or referred to in this press release includes, but is not limited to, the future or expected performance of the Company’s investee companies; the Company’s continuing investment thesis in respect of such investee companies; the Company’s investment approach, objectives and strategy, including investment selection and pace of continued investment; the structuring of its investments and its plans to manage its investments; and the Company’s financial performance.

FLS involves known and unknown risks, uncertainties and other factors that may cause actual results or events to differ materially from those anticipated in such forward-looking information. The Company believes that the expectations reflected in the FLS are reasonable but no assurance can be given that these expectations will prove to be correct. Some of the risks and other factors which could cause results to differ materially from those expressed in FLS contained in this press release include, but are not limited to: the continued impact of COVID- 19 and falling or volatile oil prices on targeted investments, the economy and markets generally, reliance on the performance of underlying assets; key employees; potential lack of investment diversification; trading price of the Subordinate Voting Shares and Founder Warrants relative to book value; significant ownership by Fax Investments Inc. may adversely affect the market price of the Subordinate Voting Shares; investments in private issuers; illiquid assets; financial market fluctuations and deterioration of political conditions; foreign security risk; competition and technology risks; credit risk; tax risks; regulatory changes; and other risks and factors referenced in this press release including under “Risk and Uncertainties”. Additional risks and uncertainties are described in the Company’s annual information form which is available on SEDAR at and on the Company’s website at

Any FLS 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 FLS, whether as a result of new information, future events or results or otherwise. The FLS contained in this press release are expressly qualified by this cautionary statement. For more information on the Company, please review the Company's continuous disclosure filings that are available at

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