The number of Quebec companies in which the Caisse de dépôt holds investments has fallen by nearly 28% in four years, noted Le Journal.
At the end of 2017, the Caisse held direct or indirect investments in 756 Quebec companies, the institution said in response to a request for access to information. Four years later, that number had shrunk to 548 companies.
The number of Québec companies in which la Caisse holds direct investments remained relatively stable, standing at 189 at the end of 2021, compared to 185 in 2017.
Indirect investments down
On the other hand, the number of investments that the Caisse holds indirectly, i.e. through funds, fell sharply, from 571 in 2017 to 359 in 2021.
“The variation is essentially explained by the expiration or non-renewal of our investments in three funds, with the same institution,” indicated Claude Mikhail, head of access to information at the Caisse.
Kim Thomassin, the vice-president responsible for investments in Quebec, was not available to answer questions from the Log.
The Caisse de depot et placement did not want to say which were the three funds that ended. However, we note that three funds managed by the Toronto firm Onex no longer appear in the institution’s latest annual report. Onex has notably invested in Quebec companies Englobe and Walter Technologies.
Dual mission
Luc Bernier, professor at the Graduate School of Public and International Affairs at the University of Ottawa, is surprised that the Caisse is less present among Quebec companies. He recalls that under its constituting act, the institution has two roles: to generate returns and to contribute to the economic development of Quebec.
“Quebec finance has been in their DNA, in theory, since 1965 and they are supposed to take care of it,” he says.
“Even if there is a cost to working with small businesses – it takes a lot of transactions before reaching $100 million – it’s their job, he adds. If they don’t want it anymore, let them tell us. »
Stable dollar weight
Despite the drop in the number of companies where the Caisse is present, the value of its investments in the Quebec private sector has increased by nearly 42% since 2017, to reach $60.2 billion at the end of 2021.
“The increase in the value of assets in Quebec is mainly due to an increase in our direct investments in Quebec companies, whether through reinvestments in portfolio companies or new investments, which provides stronger impact [que par l’entremise de fonds] said Mr. Mikhail.
However, the weight of investments in Québec companies in la Caisse’s overall portfolio has remained stable since 2017, reaching just over 14%.
- Since 2020, the Caisse has launched three programs to help local SMEs: Équité 25-3, Repères numériques and Ambition ME.
The Caisse de dépôt in brief
- Net assets as of June 30: $392 billion
- Employees: 1,454 (2,336 including subsidiaries)
- Subsidiaries: Ivanhoé Cambridge, Otéra Capital, CDPQ Infra
Some recent big investments abroad
The Caisse is increasingly present around the world. Here are some of her recent investments outside of Canada.
It finances the giant KKR in France
Last week, the Caisse announced that it participated, as lead lender, in the $650 million financing that enabled the investment firm KKR to acquire Albioma, a French producer of renewable energy. .
Two transactions in Japan
At the end of October, the Caisse made a commitment to invest $637 million in the Japanese renewable energy firm Shizen Energy. Ten days earlier, the woolen stocking of Quebecers had lent $90 million to the Singaporean company Vena Energy to finance a solar energy project in Japan.
Nearly $900 million in Australia
At the end of October, the Caisse’s real estate subsidiary, Ivanhoé Cambridge, announced its intention to invest nearly one billion Australian dollars (CA$870 million) in Scape Core, which holds the largest portfolio of residences students in Australia, i.e. 27 buildings and more than 13,000 beds.
A bet on indoor agriculture
At the beginning of October, the Caisse carried out a financing which enabled the American company Soli Organic to raise nearly US$125 million (CA$168 million). Soli is an indoor farming company that produces organic food.