Editorial: July 19
Retail chain Dollarama must be selling a great deal of merchandise in its stores having the wherewithal to sign a deal to acquire a 50.1% stake in Latin American retailer Dollarcity, which operates stores in Colombia, Guatemala and El Salvador. It’s always great to see a Canadian success story. Financial numbers still need to be finalized but the Montreal-based retailer estimates the purchase price in a range from US$85 million to US$95 million based on figures provided by Dollarcity executive management. Dollarama will make a US$40-million payment upon closing the deal — expected to happen in August — and settle the balance in the third quarter of its 2021 financial year.
Elon Musk has a strong supporter in the Ontario Teachers’ Pension Plan, which has decided to invest in his SpaceX program and his Space Exploration Technologies group, which manufactures and operates advanced rockets and spacecraft. The size of the investment agreed upon has not been revealed. Teachers’ identified SpaceX as a worthy investment opportunity because of its future growth potential in the satellite broadband market. SpaceX has completed 75 successful launches since being founded by Musk, who is also the high-profile head of Tesla, the electric automobile company.
BCE Inc. has announced chief executive George Cope will retire at the start of next year. Cope has held the dual positions of president and CEO for the past 12 years after serving as chief financial officer at Telus. He will be replaced by current BCE chief operating officer Mirko Bibic on January 5, 2020. Bell grew its wireless business and executed strategic investments and acquisitions valued at more than $15 billion under Cope’s leadership, so he will certainly be a tough act to follow. However, Bibic himself has an impressive resume, having been responsible for Bell Mobility, Bell Business Markets, and Bell Residential and Small Business.
Eldorado Resorts is purchasing Caesars Entertainment in a cash-and-stock deal valued at $17.3 billion U.S. The acquisition puts about 60 casinos and resorts in 16 states under a single name, one of the biggest gambling and entertainment ventures in the United States. The company, which will be called Caesars, will be based in Reno Nevada, where Eldorado is based, with a “significant corporate presence” in Las Vegas, where Caesars is headquartered and owns such legendary casinos and hotels as the Flamingo Las Vegas, Paris Las Vegas and Caesars Windsor here in Canada. Having just returned from Las Vegas myself, I can attest to them landing some very influential, impressive property holdings with this monumental acquisition.
Did you know?… casinos on the Las Vegas strip take in an average of more than $700,000 USD from visitors on a daily basis.