LOS ANGELES | December 6, 2011 - Redwood Capital ("Redwood") announced today the closing of an initial $26.9 million investment in California logistics firm Quetico, LLC by Alaris Royalty Corp. (TSX:AD), the Calgary, Alberta-based private investment company. Gemini, through their affiliated broker-dealer, Lynx Capital, LLC ("Lynx"), served as the exclusive financial advisor to Quetico.

Quetico, based in Chino, CA, operates more than 37,000 square meters of warehouse space and employs roughly 400 people. It is a leading provider of specialized wholesale inventory management and third-party logistics services with a near 20-year track record of service excellence to leading big box retailers and other Fortune 500 companies.

"We were impressed by Redwood's presentation of their client," stated Alaris CEO, Steve King. "They were really able to communicate effectively that the specialized wholesale and inventory management services Quetico provides, as well as the robust customers it provides these services to, have made it a recession resistant business. Quetico's consistency and profitability over the past 17 years, and especially since 2007, was instrumental in driving our decision to partner with the company."

Nathan Johnson added, "The Quetico-Alaris transaction demonstrates Redwood's ability to leverage its knowledge and relationships in identifying the ideal solution for one of our clients. We have always stressed our expertise in cross-border M&A and financing as a unique aspect to our firm relative to other middle market investment banking boutiques and this further proves that out. We are pleased to have matched up two companies that are such logical partners for one another."

About Quetico, LLC

Quetico, LLC, based in Chino, CA, is a full service warehouse and distribution company dedicated to providing complete inventory management to its customers while maintaining the highest standard of customer service found in the industry.

For more information, please visit www.queticollc.com.

About Alaris Royalty Corp.

Alaris Royalty Corp., headquartered in Calgary, Alberta, provides alternative financing to its Private Company Partners in exchange for royalties or distributions with the principal objective of generating stable and predictable cash flows for dividend payments to its shareholders.

For more information, please visit www.alarisroyalty.com.