OTTAWA, Ontario, Nov. 26, 2024 (GLOBE NEWSWIRE) -- With inflationary pressures easing and the Bank of Canada’s cutting cycle firmly underway, strengthening capital investment and consumer spending are supporting a brighter outlook for Canada in 2025, according to new research from The Conference Board of Canada. The Canadian economy is forecast to expand by 1.1 per cent in 2024, before growing a further 1.7 per cent in 2025 and 2.2 per cent in 2026.

“The economy is set to face fewer economic headwinds in the coming year, paving the way for a stronger performance in 2025,” said Richard Forbes, Lead Economist at The Conference Board of Canada. “However, challenges persist. A steep decline in international migration over the next few years will slow population growth, tighten labour markets, and hamper demand for goods and services.”

Newfoundland and Labrador is leading provincial growth in Canada, spurred by the renewed operations of the Terra Nova Offshore oil platform and healthy population gains. However, momentum is expected to slow in 2025 as government spending takes a hit. GDP growth is forecast to be 2.0 per cent in 2025 and a further 1.7 per cent in 2026.

The completion of several major projects, coupled with a weaker outlook for international migration, are both factors that are weighing on British Columbia’s growth prospects. The economy is projected to expand by 1.7 per cent in 2025 and 2.2 per cent in 2026.

Following this year’s steady growth, Nova Scotia’s economy is expected to gradually strengthen in 2025, supported by rising consumer demand that will boost auto parts and food products shipments. The province’s GDP is projected to increase by 1.6 per cent in 2025 and 2.0 per cent in 2026.

The ongoing development of the CentrePort Canada Rail Park, which is strategically enhancing Manitoba’s position as a shipping hub for western Canadian manufacturing, will provide a boost for the province’s economy. GDP is expected to grow by 2.2 per cent in 2025, followed by 2.3 per cent in 2026.

A lack of any major current capital projects is dragging on New Brunswick’s medium-term prospects. Coupled with limited population gains, the province’s growth will remain moderate in 2025. The economy is projected to expand by 1.5 per cent in 2025 before accelerating an additional 1.8 per cent in 2026.

Slowing population growth will weigh on Prince Edward Island’s economy. Residential construction is expected to moderate next year, following a record year in home building. GDP is forecast to grow by 2.0 per cent in 2025, before picking up a further 2.2 per cent in 2026.

Substantial investments in the auto sector will drive renewed growth in Ontario’s manufacturing sector, underpinning a stronger economic performance in the year ahead. Weaker population gains will ease housing cost growth and lead to a tighter labour market. Ontario’s GDP growth will pick up to 1.8 per cent in 2025, before increasing to 2.4 per cent in 2026.

Weak business investment and low migration targets are weighing on Quebec’s economy, which is projected to grow by just 1.0 per cent in 2025. The province’s economy will also be challenged by weakening consumption growth, which will limit GDP growth to 2.0 per cent in 2026.

After subdued growth in 2024, Saskatchewan’s performance is expected to strengthen through the forecast, supported by potash and uranium mining. In the upcoming year, Saskatchewan is also poised to see some of the strongest residential investment growth among provinces. The economy is projected to expand by 2.8 per cent in 2025 and 2.2 per cent in 2026.

MONTREAL, Nov. 26, 2024 (GLOBE NEWSWIRE) -- Prime Drink Group Corp. (CSE: PRME) (“Prime” or the “Company”) is pleased to announce that it has entered into a non-binding letter of intent dated November 18, 2024 with Champlain Prime Investments S.E.C. (“Champlain”) and Prime Affichage Inc. (“Prime Affichage” and together with Champlain, the “Target Shareholders”) to acquire all the issued and outstanding common shares of Prime Capital Investments Inc. (“Target”), a company incorporated under the laws of Québec that owns the all the rights and assets of the Beach Day Every Day brand.

“The acquisition of Beach Day Every Day, a leading brand in the Québec ready-to-drink beverage market, was a no-brainer for Prime. Notably, this acquisition will enable Prime to add a premium, fast-growing brand to its portfolio. In addition, Prime will have access to the positive benefits of Beach Day Every Day's recent expansion activities in the rest of Canada and the United States, where the potential market is about 30 times larger than Québec's,” said Olivier Primeau, Founder and President of Prime Capital Investments and Prime's Chief Brand and Innovation Officer.

Alexandre Côté, President and CEO of Prime, added: “This acquisition fits perfectly with Prime's strategy of expansion through acquisitions, and provides us with a high-quality asset that will contribute immediately to our revenues, with high growth potential. What's more, this acquisition, combined with that of Triani Canada, brings us even closer to our goal of $100 million in annual revenues.”

Summary of Transaction

In consideration for the proposed acquisition (the “Transaction”) of all the common shares in the capital of Target (the “Target Shares”), Prime will pay an aggregate amount of $22,500,000 as follows:

All dollar figures provided herein are in Canadian dollars unless otherwise stated.

The Common Shares being issued pursuant to the Consideration will be issued under prospectus exemptions pursuant to National Instrument 45-106 – Prospectus and Registrations Exemptions (“NI 45-106”) and may be subject to an applicable statutory hold period along with any other resale restrictions imposed under applicable securities laws or the policies of the Canadian Securities Exchange (the “CSE”).

Prime and the Target Shareholders will be working towards entering into a definitive agreement (the “Definitive Agreement”), subject to the satisfaction of the completion of due diligence by Prime of Target, on or before January 31, 2025. The Definitive Agreement will include certain conditions, including the completion of the Concurrent Financing (as defined herein), the Company obtaining an independent valuation of Target acceptable to Prime and the CSE, Target having an aggregate debt no greater than $5,200,000, and customary conditions for a transaction of this nature.

The Transaction will be subject to the approval of the CSE but is not expected to constitute a Fundamental Change (as defined in the policies of the CSE) of the Company, nor is it expected to result in a Change of Control (as defined in the policies of the CSE) of the Company.

As Raimondo Messina is a director and shareholder of both the Company and Target, and Olivier Primeau is both an executive and shareholder of both the Company and Target, it is anticipated that the Transaction would constitute a “related party transaction” as defined under Multilateral Instrument 61-101 Protection of Minority Securityholders (“MI 61-101”). The Company expects the Transaction would be exempt from the formal valuation and minority shareholder approval requirements of MI 61-101 as neither the fair market value of the securities being issued to such insider in connection with the Transaction, nor the consideration for the securities being paid to such insider would exceed 25% of the Company's market capitalization.

Concurrent Financing

Prior to or concurrently with the closing of the Transaction, the Company will complete a private placement offering to raise minimum gross proceeds of $12,500,000 (the “Concurrent Financing”). The Concurrent Financing will be completed by way of a private placement of common shares, subscription receipts or units of the Company in reliance on applicable prospectus exemptions pursuant to NI 45-106. The proceeds from the Concurrent Financing will be used to satisfy the cash consideration portion of the Transaction. Such final terms as pricing, structure, commission and/or finder’s fees in connection with the Concurrent Financing will be determined by the Company. The Company will provide further details regarding the Concurrent Financing in a subsequent news release.

Under the terms of the Agreement, the Corporation will produce various ready-to drink ("RTD") and Beer beverages at its brewing, packaging and warehousing facility in Calgary and anticipates incremental volumes of 50,000 hectolitres or more annually. "This agreement, combined with our previously announced multi-year deal signed on August 12, brings the total new contracts secured this year to 100,000 hectoliters, and marks another significant milestone as we continue to execute on our strategic plan to drive growth in volumes and revenues & grow our RTD production footprint. Our continued investment in our production capabilities and in our people were instrumental in securing the agreement." stated David Kinder, President and Chief Executive Officer of Big Rock.

Forward-Looking Information

Certain statements contained in this press release constitute forward-looking statements. These statements relate to future events or Big Rock's future performance. All statements, other than statements of historical fact, may be forward-looking statements. Forward-looking information are not facts, but only predictions and generally can be identified by the use of statements that include words or phrases such as, "anticipate", "believe", "continue", "could", "estimate", "expect", "intend", "likely", "may", "project", "predict", "propose", "potential", "might", "plan", "seek", "should", "targeting", "will", and similar expressions. These statements involve 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 statements. Big Rock believes that the expectations reflected in those forward-looking statements are reasonable, but no assurance can be given that these expectations will prove to be correct and such forward-looking statements included in this press release should not be unduly relied upon by readers, as actual results may vary materially from such forward-looking statements. These statements speak only as of the date of this press release and are expressly qualified, in their entirety, by this cautionary statement.

In particular, this press release contains forward-looking statements pertaining to the following: the anticipated incremental volumes of 50,000 hectolitres or more annually as a result of the Agreement and the expected benefits therefrom; and Big Rock's belief that it will continue to execute on its strategic plan to drive growth in volumes and revenues.

With respect to the forward-looking statements listed above and contained in this press release, management has made assumptions regarding, among other things: the incremental volumes anticipated as a result of the Agreement; the demand for RTD products; the Corporation's ability to perform its production obligations under the Agreement; the Corporation's ability to sell the RTD products produced in Alberta; the functionality of the Corporation's recently introduced high-speed, continuous-motion packaging equipment; the ability of the counterparty under the Agreement to perform and comply with its obligations thereunder, including with respect to its payment obligations; and the Corporation's ability to continue to execute on its strategic plan to drive growth in volumes and revenues.

Some of the risks which could affect future results and could cause results to differ materially from those expressed in the forward-looking information and statements contained herein include the risk factors set out in the Corporation's annual information form for the year ended December 30, 2023 which is available on SEDAR+ at www.sedarplus.ca and also include, but are not limited to the risk that the assumptions of Big Rock's management in respect of the Agreement, including, without limitation, the aforementioned assumptions, may not be correct.

Readers are cautioned that the foregoing list of assumptions and risk factors is not exhaustive. The forward-looking information and statements contained herein are expressly qualified in their entirety by this cautionary statement. The forward-looking information and statements included in this press release are made as of the date hereof and Big Rock does not undertake any obligation to publicly update such forward-looking information and statements to reflect new information, subsequent events or otherwise unless so required by applicable securities laws.

HAMILTON, Ontario, Nov. 25, 2024 (GLOBE NEWSWIRE) -- Manufacturing is essential to the Canadian economy, contributing approximately 10% of our GDP. Two of the biggest challenges facing manufacturers is ensuring that their workers have the right skills to support them as they take on new technologies and practices, and onboarding enough new workers to support sustained operations and growth. These challenges will be exacerbated as more of the existing workforce enters retirement. Introducing automation and other digital technologies has been proposed as a solution to address the skills gap, but it poses its own set of unique challenges.

Canada’s Occupational and Skills Information System (OaSIS) contains data on the competencies required to work in 900 different occupations, providing the users with a standardized way to understand how competencies vary by level of proficiency across occupations. With the rapid adoption of technologies, can the OaSIS database support the future needs of the manufacturing sector? Also, is there alignment of skills and competencies across manufacturing subsectors?

In one study conducted under NGen’s Future Ready program, funded in part by ESDC’s Sectoral Workforce Solutions Program (SWSP), the cluster contracted 6 industry associations (APMA, BioTalent Canada, CMISA, DAIR, FPSC, and SIMSA) to engage their members to help generate a snapshot of the current skills and proficiencies of the Canadian manufacturing workforce, and how those skills and proficiencies are projected to evolve through 2040. In total, 157 Canadian manufacturers participated in this study.

Projected skill levels for 2030 and 2040 indicate an emerging emphasis on digital literacy, cognitive skills, and soft skills, with the largest changes in projected proficiencies occurring in Digital Literacy, Problem Solving, and Creativity and Innovation.

The results paint a picture of a digitally literate workforce that will require cognitive and soft skill enhancement to be effective in the digital work environment of the future.

These findings suggest that manufacturing needs to understand and prepare for changes in competencies across all job functions. This will require a strategy of incorporating continuous upskilling and recruitment within and across the manufacturing sector.

Another important finding was that there is a great deal of commonality across the various sectors of manufacturing and across regions, meaning that pan-Canadian, cross-sectoral solutions have the potential to drive tremendous economic impact.

To read more about NGen’s workforce research initiatives, visit www.ngen.ca/futureready.

Quotes

“We believe that our manufacturing workforce is a critical national asset and must be looked at through a pan-Canadian, cross-sectoral lens.  Through our collaboration with six organizations supporting specific manufacturing sectors, we have identified common core competencies as well as common skills challenges facing Canada’s manufacturing sector which provides nearly ten percent of Canada’s GDP.” 

- Stewart Cramer, Chief Manufacturing Officer, NGen

“As the lead skills training organization for Canada's food and beverage manufacturing industry, we know — as do businesses — that upskilling and continuous learning is fundamental to any successful workforce. Skills training values individuals and supports recruitment and retention."

- Jennefer Griffith, Executive Director, Food Professing SKills Canada 

"Transitions aren’t only about innovation and technology. The companies that get it right are the ones that will bet on their current workforce with new skills, patience and direction. The jurisdictions that will lead in the new automotive will be the ones that partner with those companies and workers to chart their path."

- Flavio Volpe, President, APMA

“The Saskatchewan labour market is very competitive, and the manufacturing market has a difficult time competing with other booming, high productivity markets such as mining, energy and tech. The skill trend analysis we did in partnership with NGen underscores a dynamic shift in occupational competencies, highlighting the move from solely technical skills to a more broadly skilled and adaptable workforce across various sectors.  Research of this kind is essential to our ability to build the workforce that we will need to compete and grow not only against our global competitors, but also in the fierce competition for talent in our home province of Saskatchewan.

SIMSA greatly appreciates the support of and invaluable work by NGen!”

- Eric Anderson, Executive Director, SIMSA