Membertou First Nation and Horizon Naval Engineering acquire Genoa Design International

About the client

Membertou First Nation (“Membertou”) is a Mi’kmaq community on Cape Breton Island with 13 corporate businesses, including Newdock and North America's largest integrated seafood company, Clearwater Seafood—acquisitions our team supported. Thanks to our long-term, trusting relationship, they turned to our M&A team again for guidance after being approached by Genoa Design International (“Genoa”), one of the shipbuilding industry’s leading detail design and 3D modelling firms. Genoa also has extensive experience providing sustainment services for a large number of companies with expertise in designing, building, and supporting key vessels necessary for protecting Canadian sovereignty and supporting economic growth, particularly in the Arctic. 

Membertou was looking to expand their investment in the marine sector and partnered with Horizon Naval Engineering (“Horizon”), a St. John’s-based company with an industry-leading role developing relationships with First Nations, to acquire Genoa with our support. 

We helped Membertou throughout the transaction process, including coordinating with their legal counsel and Horizon to create an initial analysis and prepare an expression of interest bid. Our M&A team also assisted with preliminary due diligence, legal agreements, and negotiating the terms of the transaction, and our Tax team supported the development of a hybrid tax structure. By collaborating with the First Nation Finance Authority, the appropriate financing was put into place and the deal successfully closed. Now under Indigenous ownership, Genoa is better positioned to work with the government as it looks to strengthen Canada’s eastern coastline and sovereignty. It also further cements Newfoundland and Labrador’s position within the marine sector and as the gateways to the North and Europe.

For Membertou, the investment expands their partnership with Horizon, supports their growth strategy targeting the marine and defence sectors, and complements their existing businesses. It also represents a partnership that brings Indigenous leadership together with technical excellence to build long-term economic strength.