The Caisse invests $15 million in Colabor Group, a Québec food distributor
MONTREAL, Feb. 14, 2013 /CNW Telbec/ - The Caisse de dépôt et placement du Québec announced a $15 million equity investment in Colabor Group Inc., the largest independent food distributor in Québec.
This investment, combined with an additional $15 million equity investment on a bought deal private placement basis by National Bank Financial, is part of an expansion strategy by the Québec food distributor. The growth project includes the acquisition of T. Lauzon Ltd., a meat, poultry, fish, delicatessen and grocery product distributor that supplies Quebec's hotel and restaurant industry.
"Colabor's expansion is notable for a series of acquisitions it has made over the last few years," said Normand Provost, Executive Vice-President, Private Equity at the Caisse. "By collaborating in the financing of Colabor, the Caisse is taking part in the growth of a Québec company that plays a major role in its industry."
Colabor serves over 25,000 clients across different segments of the food services and retail food sales industry. It distributes over 50,000 products in Québec, Ontario and the Atlantic provinces.
"We are pleased to have our financial partners' support in this strategic acquisition of T. Lauzon Ltd.," said Claude Gariépy, President and Chief Executive Officer of Colabor. "The total proceeds of $30 million will give us additional financial flexibility to execute an action plan aimed at optimizing operating efficiencies while reducing our indebtedness under credit facilities."
ABOUT THE CAISSE DE DÉPÔT ET PLACEMENT DU QUÉBEC
The Caisse de dépôt et placement du Québec is a financial institution that manages funds primarily for public and private pension and insurance plans. As at December 31, 2011, it held $159.0 billion in net assets. As one of Canada's leading institutional fund managers, the Caisse invests in major financial markets, private equity and real estate. For more information: www.lacaisse.com
SOURCE CAISSE DE DEPOT ET PLACEMENT DU QUEBEC