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by Stockwatch Business Reporter
The TSX Venture Exchange
gained 1.38 points to close at 539.70 Wednesday. Mark Orsmond's third capital pool shell,
Danacore Industries Inc. (DANA: halted), has submitted a filing statement for its qualifying transaction. For its QT, the shell is acquiring Bay Talent Group Inc., a recruitment firm in Toronto. The shell will roll back 1 for 2, leaving it with 6.75 million shares issued, then issue 41,414,255 shares to its target's shareholders.
Bay Talent was formed in June, 2017, not as a recruitment agency but as an acquirer of recruitment agencies and, it appears, a talented raiser of money. It has since acquired two recruitment agencies, both in Toronto. The first, PTC Accounting and Finance Inc., was formed in 2003. The second, Provision IT Resources Ltd., was formed in 2010. So far, Bay Talent is not making money from its operations.
In the full year 2018, it lost $1.69-million on revenue of $8.67-million. In the first half of 2019, it lost $1.84-million on revenue of $5.96-million. Despite its unprofitable ways, Bay Talent has demonstrated its real skill, which appears to be raising money. Between June and September, 2019, it raised $1.74-million at 39 cents. Between June and November, 2019, it raised $4.28-million at 50 cents. For this larger financing, Bay Talent got some help from two financing agents: Gravitas Securities Inc. and Canaccord Genuity Corp. Bay Talent plans to use the proceeds to make more acquisitions.
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