BDC Capital‘s Growth & Transition Capital said it has invested more than $180 million in business change-of-ownership deals since December 2017.
The activity is part of BDC’s commitment to invest $900 million in Canadian business transition and acquisition strategies over five years.
Companies recently backed include BID Group, David Aplin Group, Deslaurier Custom Cabinets, Industries Polykar, Kendrick Equipment and Sancton.
PE Hub Canada reported on the 2017 deal involving BID, a Prince George, British Columbia-based turnkey supplier to the forest products industry, led by Highland West Capital and joined by BDC and other investors.
BDC Capital invests over $180 million to date in business transition transactions
Amount invested is on track with $900-million commitment over five years
MONTREAL, March 26 , 2019 /CNW Telbec/ – BDC Capital, the investment arm of BDC, has invested over $180 million in change-of-ownership transactions since Dec. 2017 and is on track with its pledge to invest $900 million in such deals over five years.
“Investing in business transitions is one of our core offerings,” says Patrick Latour, Senior Vice President, Growth & Transition Capital at BDC Capital. “Our Growth & Transition Capital team specializes in helping the many Canadian entrepreneurs who are planning business transitions or seek to pursue an acquisition. We have a customized and flexible offering with a goal to help build strong Canadian companies with a competitive edge on the regional, national and global stage.”
Recent transactions include:
David Aplin Group—Calgary, AB. David Aplin Group is one of Canada’s largest recruiting and placement firms, with offices across the country, strong growth potential and experienced management. BDC Capital provided mezzanine financing and a cash flow loan to allow the continuation of an intergenerational ownership transfer so that the company can remain a majority family-owned enterprise.
Kendrick Equipment—Surrey, BC. Kendrick Equipment is a quickly growing municipal and industrial equipment distributor to municipalities and other customers across Western Canada and the U.S. Mezzanine financing from BDC Capital allowed the company to acquire Crocker Equipment, the exclusive distributor for Zamboni in B.C. and the Yukon.
Sancton—Halifax, NS. Sancton is a fourth-generation family business that provides scaffolding and access systems as well as aggregate processing and commercial paving systems. BDC Capital provided financing for an intergenerational transition and to top up working capital.
BID Group—Prince George, BC. With 1,800 employees, BID Group is the leading provider of high-performance equipment, engineering and optimization services and related solutions to the North American forest products industry. It is also one of the two largest providers of capital equipment in the industry. BDC Capital participated in a significant minority transaction to enable ownership transition and provide additional capital for growth.
Industries Polykar—Montreal West Island, QC. Polykar, one of Canada’s leading manufacturers of industrial, commercial and institutional garbage bags, food packaging and recycling services, holds ISO management and environment qualifications and operates in a LEED silver-certified facility. BDC Capital’s mezzanine financing supported Polykar’s growth strategy and contributed to the family transition allowing the company’s head office to remain in Quebec.
Deslaurier Custom Cabinets—Ottawa, ON. Deslaurier is a leader in the design, manufacture, installation and servicing of custom cabinetry. It operates a state-of-the-art green manufacturing facility and has won awards for housing design, business ethics and being one of Canada’s best-managed companies. BDC Capital provided unitranche financing for an acquisition of the company by an outside group.
About BDC Capital
BDC Capital is the investment arm of BDC- Canada’s only bank devoted exclusively to entrepreneurs. With $3 billion under management, BDC Capital serves as a strategic partner to the country’s most innovative firms. It offers a full spectrum of risk capital, from seed investments to transition capital, supporting Canadian entrepreneurs who wish to scale their businesses into global champions. Visit bdc.ca/capital.
For further information: Joanne Lajeunesse, Public affairs, BDC Capital, firstname.lastname@example.org, 1-844-625-8321