BDC, EDC, Roynat back Highland West-led investment in BID


Logs; Photo courtesy of serdar_yorulmaz//iStock/Getty Images

Export Development Canada (EDC) said it invested $13.5 million in BID Group Holdings Ltd, a Prince George, British Columbia-based turnkey supplier of equipment, services, software and installations to the forest products industry. As reported by PE Hub Canada last month, the deal was led by Highland West Capital, a Canadian private equity firm. Other members of the investor group included BDC Capital‘s Growth & Transition Capital and Roynat Equity Partners. Founded in 1983, BID’s operations reach into the main sawmilling areas of North America. Backed by the consortium, it plans to continue growing organically and via acquisitions.

PRESS RELEASE

EDC invests CAD 13.5M in equity into BID Group Holdings Ltd. to grow international business opportunities

OTTAWA, July 11, 2017 /CNW/ – Export Development Canada (EDC) today announced the successful closing of a CAD 13.5 million equity investment into BID Group Holdings Ltd. (“BID” or the “Company”), part of a larger equity transaction led by Highland West Capital Ltd. (“HWCL”).

The investor group, which also included Roynat Equity Partners, BDC Capital, and other institutional investors, is working with BID to support its continued growth – both organically and through acquisition.

“EDC’s commitment reflects our interest in helping to build strong companies in a vital Canadian industry,” said Nathan Gibb, Senior Principal, Investments, EDC. “As a company that has grown rapidly through consistent investment and focus on international growth opportunities, BID is exactly the type of high potential company that EDC wants to support and partner with.”

Prince George, BC-based BID provides mill equipment and turnkey solutions to the North American wood processing industry. Over the last five years, BID has completed four acquisitions, tripled revenues, more than doubled its customer base, and diversified its manufacturing capabilities.

“BDC Capital is always looking to partner with growing companies like BID and provide the patient capital, experience and guidance it needs to keep growing and become a world-class player”, said Patrick Latour, Senior Vice President, Growth & Transition Capital at BDC Capital.

“We are excited about the additional opportunities that our partnership with HWCL, EDC, and the rest of our new investors will provide,” said Alistair Cook, CEO, BID. “The additional capital will allow us to accelerate our turnkey offering and ongoing investments in technology to further support our customers.”

EDC’s investments program provides flexible and patient private equity growth capital to high potential Canadian companies that are focused on exports, international expansion, and developing international affiliations.

“EDC will also enhance its investment in BID by working with the management team to leverage EDC’s global trade expertise, international relationships, and suite of financing and insurance products,” Mr. Gibb said.

“This transaction represents the next step in BID’s evolution as we continue our path to be the clear leader in providing solutions to the wood processing industry,” added Brian Fehr, Founder and Chairman, BID.

About BID

The privately-owned BID Group Holdings Ltd. has over 30 years of experience in the forestry sector providing industry leading solutions for its highly-valued customers. One of the largest integrated suppliers to the wood processing industry and the North American leader in the field, BID is your one-stop source for comprehensive and innovative solutions. Powered by BID Construction, Comact, PHL, Deltech, BID Service, Miller Manufacturing, and McGehee, the company provides efficient and reliable equipment and services to the forest products industry that exceed their customer’s expectations. Their ability to provide turnkey solutions that include engineering, project management, installation, startup, and after-sales service furthers their strategic value to their customers. BID numbers more than 1,100 employees and 15 facilities across North America.

To find out more, visit http://www.bidgroup.ca/

About BDC Capital

With more than $2 billion under management, BDC Capital is the investment arm of BDC, serving as a strategic partner to Canada’s most innovative and high potential firms. It offers a range of equity, venture capital and flexible growth and transition capital solutions to help Canadian entrepreneurs scale their businesses into global champions. To find out more, visit bdc.ca/capital.

About Highland West Capital Ltd.

Based in Vancouver, BC, Highland West Capital Ltd. is a private equity firm that blends the depth of large fund experience with the flexibility of a family office. HWCL offers a broad array of capital alternatives including traditional equity and debt structures—as well as strategic, operational and financial support to its management partners. To find out more, visit http://hwcl.ca/.

About EDC

EDC helps Canadian companies go, grow, and succeed in their international business. As a financial Crown corporation, EDC provides financing, insurance, bonding, trade knowledge, and matchmaking connections to help Canadian companies sell and invest abroad. EDC can also provide financial solutions to foreign buyers to facilitate and grow purchases from Canadian companies.

For more information about how we can help your company, call us at 1-888-434-8508.

For further information: Elise Dedekam, Export Development Canada, [email protected], (613) 598-3076

Photo courtesy of serdar_yorulmaz//iStock/Getty Images

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