Salida Capital To Launch PE Fund

TORONTO (Reuters) – Canadian private wealth management firm Salida Capital said on Wednesday it plans to launch a private equity fund, which so far has C$100 million ($100 million) in seed investment committed.

The official marketing period of the natural resources-focused fund will begin in May and last six to eight months, or until it has hit its targeted maximum capital commitment, Salida said. It did not say what the maximum capital commitment was.

Salida was in the news last summer when it won a charity auction for a steak lunch with Warren Buffett, in which it bid $1,680,300 to dine with one of the world’s richest and most influential investors. [ID:nN08389405]

The firm manages about C$650 million for a global client base of family offices, high net worth individuals, institutions and funds of funds.

Chief Executive Courtenay Wolfe said Salida remains focused on managing funds that invest mainly in publicly listed securities, but added there are many opportunities on the private side that cannot be held in the firm’s current funds.

“We manage our funds within a disciplined risk management framework that has predetermined limits on the percentage of privates that can be held in a fund,” she said in a release.

“Many of our investors have asked for a longer term time horizon for investing, wishing to access some of the great private investment opportunities we are seeing in the natural resources space.”

The C$100 million anchor investment came from Bill Gallacher, chief executive of Avenir Capital Corp, and chairman and founder of Athabasca Oil Sands Corp (ATH.TO) which recently made its debut on the Toronto Stock Exchange.

($1=$1 Canadian) (Reporting by John McCrank; editing by Rob Wilson)