News & Media



November 6, 2020, Toronto, Ontario - FAX Capital Corp. (FAX Capital or the Company) (TSX: FXC and FXC.WT) today announced its results for the third quarter of 2020.

Operating Highlights:
  • Book value of $4.49 per subordinate voting share and multiple voting share (collectively, the shares), an increase of 5.6% from June 30, 2020, with performance driven by unrealized gains recognized on each of its public company investments.
  • Deployed $5.3 million of capital during the quarter into five public company investments, including $3.0 million into a new investment initiated during the quarter.
  • Bought back and cancelled approximately 107,000 shares since June 8, 2020, pursuant to FAX Capital’s Normal Course Issuer Bid.
  • Held a cash balance at the end of the quarter available to be invested of $117.4 million, or $2.73 per share.

“Our investments performed strongly in the quarter, and the return on our deployed capital has outperformed major benchmarks this year. Despite our large cash balance, this investment performance has driven our book value per share strongly above year-end 2019 levels which marked the start of our journey following our initial capital raise,” said Blair Driscoll, the Company’s Chief Executive Officer. “We continue to remain disciplined and patient with our capital allocation, as evidenced by the slowdown in capital deployed this quarter in response to the rapid V-shaped recovery and expansion of market valuations. Our significant cash balance continues to be a source of strength given the lingering cloud of uncertainty surrounding the impact of COVID-19, and we remain well-positioned to capitalize on increased volatility should it arise. We continue to identify select investment opportunities, including two new public company investments, one of which was initiated in the quarter and the other initiated immediately following quarter-end. In addition, we remain intently focused on our private company pipeline which we continue to advance and make progress as we head into the end of the year.”

Results for the Three and Nine Months Ended September 30, 2020

The Company’s book value per share increased 5.6% from $4.25 per share at June 30, 2020 to $4.49 per share as at September 30, 2020. The 5.6% increase is primarily attributed to the Company recording an unrealized gain on its investments of $11.0 million in the three months ended September 30, 2020. Net income for the quarter ended September 30, 2020 was $10.3 million, compared to a net loss of $608.0 thousand in the quarter ended September 30, 2019.

The Company’s book value per share increased 3.5% from $4.34 per share at December 31, 2019 to $4.49 per share as at September 30, 2020. The 3.5% increase is primarily attributed to the Company recording an unrealized gain on its investments of $7.5 million in the nine months ended September 30, 2020.

Net income for the nine months ended September 30, 2020 was $6.3 million, compared to a net loss of $1.4 million in the comparative period last year.

Other Information

Further information about FAX Capital, including FAX Capital’s Condensed Interim Financial Statements and Management’s Discussion & Analysis for the nine months ended September 30, 2020, is available under the Company’s profile at and Supplemental materials in respect of the Company’s third 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 and Media Relations
Tim Foran
Telephone: (416) 860-6108
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 following financial measures which are not recognized under International Financial Reporting Standards (IFRS) and which do not have a standard meaning prescribed by IFRS: “book value per share” and “return on deployed capital”. The Company’s book value per share is 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 shares outstanding at that date. The Company’s return on deployed capital is a measure of the performance of the Company’s invested capital. The return on deployed capital is measured by dividing the total of the fair value of each of the Company’s investments, excluding cash, and any dividends received on those investments by the total cost of the investments at the measurement date. The Company’s method of determining these financial measures may differ from other companies’ methods and, accordingly, these amounts may not be comparable to measures used by other companies. These financial measures are not performance measures as defined under 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 or variations thereof. FLS contained or referred to in this press release includes, but is not limited to, the future or expected performance of the Company’s portfolio companies; the Company’s continuing investment thesis in respect of such portfolio 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; the Company’s continued utilization of its Normal Course Issuer Bid; 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 on targeted investments, the economy and markets generally, as well as the identified risk factors included in the Company’s public disclosure, including the annual information form dated March 26, 2020, which is available on SEDAR at and on the Company’s website at The FLS in this press release reflect the current expectations, assumptions, judgements and/or beliefs of the Company based on information currently available to the Company, and are subject to change without notice. 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 press release. The Toronto Stock Exchange accepts no responsibility for the adequacy or accuracy of this release.