TORONTO, ONTARIO--(Marketwired - Sept. 8, 2014) - Grenville Strategic Royalty Corp. (TSX VENTURE:GRC) ("Grenville") is pleased to announce that it has contracted for a gross sales royalty from DS Handling Systems Limited ("DS Handling") in exchange for an advance of $1 million. In exchange for this advance, Grenville will receive a royalty based on DS Handling's gross revenue within Grenville's average royalty rate of between 1% and 4%.
DS Handling is a privately held, Orangeville, Ontario-based provider of case and pallet conveyer handling systems. Since 1983, DS Handling has delivered leading turn-key material handling services which have grown to include manufacturing, engineering and design services, automation and controls, and project management. Long-term business customers of DS Handling include corporate leaders in the distribution and fulfillment, postal and courier, food and beverage, and general manufacturing industries.
"With over 30 years of operating experience, the DS Handling team, under the leadership of the Marr Family, have built a reputation as a top quality conveyer systems provider," said William (Bill) R. Tharp, President and Chief Executive Officer of Grenville. "DS Handling has established long-standing relationships with a number of top-quality customers which have driven the company's growth and innovation for over three decades. Steve and Neil Marr, and their DS Handling business, are an excellent manufacturing addition to the Grenville portfolio."
"Working with Grenville will allow us to move forward with the growth we had planned, but much earlier than anticipated," said Steve Marr, President and Chief Executive Officer of DS Handling. "Grenville's team of professionals turned their product offering into reality in a very short time span and worked hard to include some distinct differences that were important to us. We look forward to working together for a long time."
DS Handling represents Grenville's 18th investment since its inception in July, 2013. To date, Grenville has completed approximately $17.9 million in royalty financings across Canada and the US.