Simply Green Home Services Inc. entered into an agreement to acquire Dealnet Capital Corp. (TSXV:DLS) from a group of shareholders for CAD 45.4 million on August 22, 2020. Under the terms of transaction, Simply Green Home will pay CAD 0.16 for each share of Dealnet. The transaction has a total equity value of CAD 47.8 million. If holders of not less than 90% of the outstanding common shares of Dealnet (on a fully-diluted basis) have accepted the offer, Simply Green shall acquire the remaining common shares pursuant to a compulsory acquisition. All of Dealnet’s directors and executive officers have entered into lock-up agreements with Simply Green, pursuant to which they have agreed to, among other things, to tender all of their common shares. In the event of termination, Dealnet will pay a termination fee of CAD 2.3 million. The agreement provides for, among other things, a customary Board support condition, a non-solicitation covenant in respect of any competing offers from third parties. The tender offer will be conditional upon, among other things, valid acceptance of the offer by Dealnet shareholders owning not less than 66 2/3% of the issued and outstanding common shares. The transaction is not subject to any financing condition. As a condition to the transaction, neither the agreement nor any of the Lock-Up Agreements shall have been terminated in accordance with its terms; shareholder rights plan shall have been waived; Competition Act Clearance and all regulatory approvals should have been received; among others. The transaction has been unanimously supported by Dealnet’s Board and recommends shareholders to tender their common shares to the offer. As of September 15, 2020, Capital Partners Corporation and Municipal Home Service Inc., shareholders of Dealnet Capital, opposed the sale of Dealnet Capital due to the low offer and urged shareholders not to tender shares. As of September 17, 2020, Dealnet Capital reminds shareholders to tender their Dealnet common shares. As of October 14, 2020, all conditions of the offer had been satisfied. The tender offer will commence soon and will be open for acceptance for a period of not less than 35 days. As of September 9, 2020, tender offer has been commenced. The offer is open for acceptance until October 14, 2020. As of October 14, 2020, and 210.1 million common shares of Dealnet Capital (representing approximately 74.28% of the issued and outstanding common shares) were deposited to the offer and have now been taken up by Simply Green for aggregate consideration of CAD 33.6 million. Simply Green intends to acquire any shares not deposited under the offer through a subsequent acquisition transaction. The offer has been extended until October 26, 2020. Origin Merchant Partners acted as financial advisor and provided fairness opinion to Board of Dealnet. Jon Feldman of Goodmans LLP acted as legal advisor while Longview Communications & Public Affairs acted as strategic communications advisor for Dealnet. Kingsdale Advisors acted as information agent and depository for Simply Green. Brian M. Pukier of Stikeman Elliott LLP acted as legal advisor while Raymond James Ltd. acted as financial advisor for Simply Green Home Services Inc. Simply Green Home Services Inc. completed the acquisition of Dealnet Capital Corp. (TSXV:DLS) from a group of shareholders on October 26, 2020. Simply Green Home owns an aggregate of 93.13% stake of Dealnet and is exercising its right to acquire all of the remaining common shares not deposited under the offer on the same terms as the offer, pursuant to the compulsory acquisition provisions of the Business Corporation Act (Ontario). As of November 26, 2020, Simply Group Acquisition has completed the acquisition of remaining shares. Dealnet expects that it will be delisted from the TSXV on or about November 27, 2020, subject to approval of the TSXV.