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Following a busy 2013, Clairvest expects to launch fifth fund in 2014

Canadian private equity firm Clairvest Group (TSX: CVG) expects to launch its fifth partnership, Clairvest Equity Partners V (CEP V), in 2014, peHUB Canada has learned.

The firm did not disclose other details concerning the fund, including its anticipated target size.

Clairvest’s current fund, CEP IV, has been drawn down 60 percent and 70 percent allocated, the firm reported. CEP IV, which invests in North American mid-market companies in a range of industries, was closed at $467 million in Jan. 2011.

CEP IV has completed 10 platform investments to date. Companies backed in 2013 included Cieslok Media, an outdoor advertising company focused on large format digital and static billboards, CRS Contractors Rental Supply, a provider of construction rental equipment and related merchandise, and Winters Bros. Waste Systems of CT, a solid waste collection, recycling and disposal business.

Over the past year, Clairvest also completed close to a dozen add-on acquisitions for its portfolio companies. It also wrapped up its third portfolio exit, the sale of PEER 1 Network Enterprises to Cogeco Cable for an equity value of $526 million, which gave the firm a 40 percent IRR.

Last June, peHUB Canada interviewed Clairvest co-CEO Jeff Parr about the firm’s exit from PEER 1, its deal-making activity, and its take on current PE market trends.

Under its existing management team, Clairvest has accounted for a cumulative 38 investments with 23 realizations, achieving a 2.5x MOC (multiple on capital) and 23 percent pooled IRR. Related activity involved over 200 add-on acquisitions and the raising of over $5 billion in debt and equity financing, the firm reported.

The firm has its headquarters in Toronto, Ontario.

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