PE Deals

CAI backs powerline tools and safety equipment distributor Linestar

Linestar will continue to be led by executives Brian L’Heureux, Greg Payne and Brian Colledge, who have each retained an equity interest.

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  • Founded in 2005, Linestar has distribution centres in British Columbia, Alberta, Manitoba and Ontario, giving it an ability to serve electric utilities and powerline contractors from coast-to-coast
  • CAI’s investment in LineStar marks the sixth platform deal of Fund VI
  • CAI Capital Partners VI closed in 2020 at C$125 million

CAI Capital Partners has made an investment in Linestar Utility Supply, a Surrey, British Columbia-based distributor of powerline technician tools and safety equipment, as well as its affiliates. No financial terms were disclosed. Debt financing for the transaction was provided by Scotiabank.

Founded in 2005, Linestar has distribution centres in British Columbia, Alberta, Manitoba and Ontario, giving it an ability to serve electric utilities and powerline contractors from coast-to-coast.

The company will continue to be led by executives Brian L’Heureux, Greg Payne and Brian Colledge, who have each retained an equity interest.

“We are excited to partner with the team at LineStar,” said Rob Wildeman, partner at CAI, in a statement. “They have collectively built an impressive business that improves the safety of PLTs who support our power infrastructure. We believe in the significant industry tailwinds and look forward to leveraging our experience to support the team and the company in building on their success to date.”

CAI was advised on the transaction by Blake, Cassels & Graydon, PwC Canada, Marsh McLennan, HUB International and Kroll. LineStar was advised on the transaction by Fort Capital Partners and Mogan Daniels Slager.

CAI’s investment in LineStar marks the sixth platform deal of its sixth fund. CAI Capital Partners VI  closed at C$125 million in December 2020, surpassing its C$100 million target, as reported by PE Hub.

CAI is a Vancouver-based private equity firm that has invested more than C$1.5 billion over three decades. The firm invests in North American businesses, typically founder owned or led and with $3 million or more of EBITDA across business services or specialty manufacturing.