Black Diamond Group closes Royal Camp acquisition

Executive Summary

• Black Diamond Group Ltd. has successfully closed its strategic acquisition of Royal Camp Services Ltd. for an aggregate purchase price of approximately $165.8 million.
• The transaction consideration consists of approximately $150 million in cash and 1,377,911 common shares of Black Diamond, valued at a deemed price of $12.08 per share.
• Following the acquisition, Black Diamond becomes a premier integrated workforce accommodations and catering business with nearly 12,000 rooms of capacity across Canada, expected to be accretive based on Royal's three-year adjusted EBITDA range of $31 million to $41 million.

Key Details

• Transaction Status: Closing of the previously announced acquisition of Royal Camp Services Ltd.
• Total Consideration: Approximately $165.8 million (as adjusted).
• Cash Component: Approximately $150 million.
• Equity Component: 1,377,911 common shares in the capital of Black Diamond.
• Share Valuation: Deemed price of $12.08 per consideration share.
• Listing Timeline: Consideration shares expected to be listed on the Toronto Stock Exchange on or about November 14, 2025, pending final TSX approval.
• Valuation Basis: Transaction is expected to be highly accretive based on the midpoint of a three-year adjusted EBITDA range for Royal of $31 million to $41 million (excluding anticipated synergies).
• Operational Impact: Black Diamond now holds nearly 12,000 rooms of capacity across Canada, combining Black Diamond’s workforce solutions with Royal’s remote accommodation and catering expertise.
• Strategic Alignment: The acquisition aligns with Black Diamond’s long-term growth strategies to meet rising demand for turnkey workforce accommodations solutions across Canada.

Notable Quotes

• Trevor Haynes, Chairman and CEO of Black Diamond: "We are pleased to announce that our acquisition of Royal has been successfully completed. We will now work to effectively combine these two best-in-class teams to best serve our customers and continue to bring value to all stakeholders -- partners, employees and shareowners... Together, we are exceptionally well positioned to meet the current and rising demand for turnkey work force accommodations solutions across Canada."
• Jon Warren, President of Royal: "Over the years, Royal has built a very successful business focused on delivering an unmatched level of service and quality to our customers -- and we look forward to continuing to build on that legacy, now as part of the broader Black Diamond team... The Royal team is very excited about the market opportunities ahead for the combined work force accommodations Canadian business."