Private Equity

When Innovation Means Success

The Private Equity team’s investments take the form of capital-stock in companies in several industrial sectors: manufacturing, distribution and services, media and telecommunications, natural resources, financial services, energy and infrastructures. The team also invests in specialized investment funds. To complete its diversification efforts, it also covers the senior corporate debt market and, more recently, the infrastructures market.

The Caisse is Canada’s leading private equity investor. Its team is known for the extensive experience it has acquired over the past 30 years.

Mandate

• Manage and develop portfolios of direct investments in businesses and indirect investments through Canadian and foreign funds.

Specialized Portfolios
The team is responsible for managing two portfolios:

• Investments and Infrastructures
• Private Equity

Investment Approach
Active portfolio management is performed on the basis of the following principles:

• An approach that is based on proximity to markets, meaning an in-depth knowledge of target markets and companies, and is opportunistic in order to take advantage of investment opportunities, depending on market conditions;
• Selection of the best corporate and investment funds management teams;
• Risk management based on rigourous analysis and monitoring of businesses;
• Investment diversification by industrial sector, geographic area, financial product and business maturity.

SUPPORTING QUÉBEC BUSINESSES
The Private Equity team plays a very active role in Québec businesses. Its overall financing offer has six components.

• Increasing Support for Small Businesses
  In this niche market, the Private Equity team entered into a strategic partnership with the Business Development Bank of Canada (BDC) and set up AlterInvest, a Canada-wide investment fund. This partnership enables the team to increase the capital available to small businesses in Québec and raise investments in this sector.
• A Targeted Offer for Medium-Sized Businesses
  A group of experts works exclusively on financing medium-sized businesses in the manufacturing and distribution and services sectors. In particular, it offers to accompany businesses that are looking to implement growth projects, export their products or services, set up shop abroad or become a partner of a business in another country in order to take advantage of globalization.
• Deployment of the Québec Manufacturing Fund
  In order to stimulate the productivity of manufacturing companies in Québec, the Caisse created a fund, in October 2006, whose investments are designed to promote an increase in their plants’ operational efficiency.
• Profitable Venture Capital Activities
  The Caisse invests in Québec venture capital funds and foreign venture capital funds that are active in Québec. These partnerships increase the sources of financing for Québec businesses, particularly in the areas of information technology and life sciences.
• A Forerunner in Financing Ownership Transfers
  The Caisse continues to promote the transfer of corporate ownership to upcoming generations.
• Major Support for Leveraged Buyout Funds
  The Caisse is a major partner of Novacap, a fund investing in companies that are market leaders in traditional and technological sectors. Novacap and the Caisse thereby contribute to accelerating the development of these businesses’ activities by emphasizing internal growth, acquisitions or strategic alliances.

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Additional Information
Profile of Head of Private Equity
Private Equity
Real Estate Financing Offer
Fixed Income and Currencies
Asset Allocation
Equity Markets
Hedge Funds
Real Estate