VC & PE QUÉBEC MARKET OVERVIEW // 2019...based Coveo Solutions Inc. by a syndicate that included...

VC & PE QUÉBEC MARKET OVERVIEW

// 2019

VENTURE CAPITAL & PRIVATE EQUITY QUÉBEC MARKET OVERVIEW // 2019 | 2

source:

CONTENTS

PARTICIPATING DATA CONTRIBUTORS .......................................................................3 VC & PE ACTIVITY ........................................................................................................................................ 4 VC & PE ACTIVITY BY ADMINISTRATIVE CENTRE .............................................................................. 5

VENTURE CAPITAL QUÉBEC MARKET OVERVIEW ....................................................6 FOREWORD ..................................................................................................................................................... 7 QUÉBEC VENTURE CAPITAL HIGHLIGHTS .......................................................................................... 8 VENTURE CAPITAL HEAT MAP ................................................................................................................. 9 QUARTER-OVER-QUARTER VC INVESTMENT IN QUÉBEC ........................................................... 10 VC ACTIVITY BY DEAL SIZE ..................................................................................................................... 11 VC SECTOR BREAKDOWN ....................................................................................................................... 12 VC STAGE BREAKDOWN .......................................................................................................................... 13 VENTURE DEBT HEAT MAP ..................................................................................................................... 14 TOP 10 DISCLOSED QUÉBEC VC DEALS ............................................................................................ 15 TOP DISCLOSED VC EXITS ..................................................................................................................... 16MOST ACTIVE VC INVESTORS IN QUÉBEC ......................................................................................... 17

PRIVATE EQUITY QUÉBEC MARKET OVERVIEW ..................................................... 18 FOREWORD ................................................................................................................................................... 19 QUÉBEC PRIVATE EQUITY HIGHLIGHTS ............................................................................................ 20 PRIVATE EQUITY HEAT MAP .................................................................................................................. 21 QUARTER-OVER-QUARTER PE INVESTMENT ACTIVITY IN QUÉBEC ........................................ 22 PE ACTIVITY BY DEAL SIZE .................................................................................................................... 23 PE SECTOR BREAKDOWN ...................................................................................................................... 24 TOP DISCLOSED QUÉBEC PE DEALS ................................................................................................. 25 TOP DISCLOSED PE EXITS IN QUÉBEC .............................................................................................. 26MOST ACTIVE PE INVESTORS IN QUÉBEC ....................................................................................... 27

CVCA METHODOLOGY ................................................................................................ 28 VENTURE CAPITAL ................................................................................................................................... 28 PRIVATE EQUITY ................................................................................................................................. 29, 30

CVCA/RÉSEAU CAPITAL ABOUT & CONTACT ......................................................... 31


source:

PARTICIPATING DATA CONTRIBUTORS

If you would like to have your firm included in future reports, please contact [email protected]

7 Gate Ventures

Accelerate Fund

AmorChem Fund

Anges Quebec

Anges Quebec Capital

AVAC Ltd.

BCF Ventures

Brightspark Ventures

Build Ventures

CIBC Innovation Banking

CIC Capital Ventures

Conexus Venture Capital

CTI Life Sciences

Cycle Capital Management/EcoFuel

Dash40 Ventures

Espresso Capital Ltd.

Evok Innovations

Fight Against Cancer Innovation Trust

First Ascent Ventures

Fonds Innovexport

Framework Ventures

Freycinet Ventures

Good News Ventures

GreenSoil Investments

iGan Partners

Information Venture Partners

Innovacorp

inovia Capital

Ironbridge Equity Partners

Island Capital Partners

Luge Capital

Lumira Ventures

MaRS Catalyst Fund

MaRS IAF

McRock Capital

New Brunswick Innovation Foundation

OMERS Ventures

Ontario Capital Growth Corporation

Panache Ventures

Pangaea Ventures

Portag3 Ventures

Quantius

Quark Venture

Radical Ventures

Real Ventures

Relay Ventures

Rhino Ventures

Ripple Ventures

Roadmap Capital

Round 13 Capital

Ryerson Futures

Sectoral Asset Management Inc.

StandUp Ventures

Tandem Expansion

TandemLaunch

TELUS Ventures

Top Renergy

V3-Ventures

Vanedge Capital Partners

Venbridge Ltd.

VentureLink Funds

Versant Ventures

White Star Capital

Yaletown Partners

Venture Capital Firms32 Degrees Capital

AIP Private Capital

ARC Financial

Ardenton Capital Corporation

BDC Growth Equity

BMO Capital Partners

Canadian Business Growth Fund

Capital Financière Agricole

Clairvest Group Inc.

Clearspring Capital Partners

First West Capital

InstarAGF Asset Management

Kayne Capital

Killick Capital Inc.

Mink Capital

Mosaic Capital Corporation

Novacap Management Inc.

OMERS Private Equity Inc.

PenderFund Capital Management

Persistence Capital Partners

PFM Capital Inc

PRIVEQ Capital Funds

Seafort Capital

TorQuest Partners

TriWest Capital Partners

Vistara Capital Partners

Westcap Mgt. Ltd

Western Investment Company of Canada Limited

Private Equity & LSVCC FirmsAlberta Enterprise Corporation

Alberta Teachers’ Retirement Fund (ATRF)

BDC Capital

Bluesky Equities

Caisse de depot et placement du Quebec

Dancap Private Equity Inc

Desjardins Capital

Fondaction

Fonds de solidarite FTQ

Fonds de solidarité FTQ (Regional)

Kensington Capital Partners Ltd.

Investissement Quebec

Northleaf Capital Partners

Ontario Teachers’ Pension Plan (OTPP)

Teralys Capital

Limited Partners

CVCA thanks the following firms who participated in its 2019 survey.


source:497 dealstotal #

$11.3btotalinvested

332deals

165deals

$1.6b

$9.7b

VC & PE ACTIVITY // 2019

Venture Capital Private Equity


source:

Laurentides

Outaouais

Nord-du-Québec /Abitibi-Témiscamingue

Laval

20

5

Montréal Montérégie

Lanaudière

Estrie

Centre-du-Québec

13

Québec

Chaudière-Appalaches

Mauricie

Saguenay-Lac-St-Jean /Côte-Nord

Bas-Saint-Laurent

211

102 129 31 213 6

18 2

Gaspésie/Îles-de-la-Madeleine

5

12

1

36

2

28 1

20

12 5

10 3

8

VC & PE ACTIVITY BY ADMINISTRATIVE CENTRE // 2019

montréal

231 DEALSmost active region

total #

Venture Capital

Private Equity

VENTURE CAPITAL QUÉBEC MARKET OVERVIEW

// 2019


source:

FOREWORD

Quebec Sees 37% Increase in Invested VC Dollars In 2019

There were 8 $50M+ VC mega-deals in 2019 in Quebec which included:

CAD $227M growth financing of Québec-based Coveo Solutions Inc. by a syndicate that included Fonds de solidarité FTQ, Investissement Québec and OMERS Private Equity Inc.

Montreal-based Element AI Inc.’s CAD $200M series B round by an investor syndicate that included Caisse de dépôt et placement du Québec (CDPQ), BDC Capital Co-Investments, Investissement Québec and Real Ventures

Montreal-based Repare Therapeutics Inc.’s CAD $109M financing from investors that included BDC Healthcare Venture Fund, Fonds de solidarité FTQ and Versant Venture Management, LLC

There were 17 exits involving VC-backed companies in 2019. Of these there were 2 IPOs involving Montreal-based companies:

Lightspeed POS Inc. listed on TMX with a market cap of CAD $1.1B – investors included Caisse de dépôt et placement du Québec (CDPQ), inovia Capital, Investissement Québec and Teralys Capital

Milestone Pharmaceuticals Inc. closed its IPO on Nasdaq with a market cap of CAD $468M – investors included BDC Healthcare Fund, Fonds de solidarité FTQ and inovia Capital.

“The venture capital industry in Quebec picked up the pace in the fourth quarter and had an excellent year. Innovation in Quebec is flourishing. The long-term growth prospects are great, and investors clearly understand this by working with more and more successful companies”

— Daniel Charron, CEO of Réseau Capital

$500M venture capital (VC) dollars was invested in Q4 2019 brining the year-end total to CAD $1.6B over 165 deals; a 37% increase from the CAD $1.1B (142 deals) in 2018.


source:

QUÉBEC VENTURE CAPITAL HIGHLIGHTS // 2019

Q4 2019 Highlights

The average VC deal size ($10.2M) increased 27% compared to last year ($8.1M) and was 1.6 times greater than the average for the 5-year period 2014-2018 ($6.5M)

There were 2 $50M+ mega-deals that closed in the fourth quarter

2019 VC Highlights

The average VC deal size in 2019 was $9.5M, up 18% from last year ($8.1M) and 47% higher than the average for the 5-year period 2014-2018 ($6.5M)

Quebec captured almost a third of the number of VC deals (165 out of 539) and a quarter of all dollars invested ($1.6B out of $6.2B)

A third (53 out of 165) of deals were between $1M-$5M, followed by deals between $5M-$20M capturing a 17% share (28 out of 165 deals)

Quebec-based ICT companies received the largest share (56% of $1.6B) of total investment; the life sciences sector was second, garnering $405M, a 26% share

Montréal-based companies received $1.1B over 128 deals second only to Toronto-based companies that received $1.9B over 157 deals

Within the province, Montréal-based companies received 78% (129 out of 165 deals) of VC deal flow followed by Québec City with a 7% share (12 out of 165 deals)

81 early stage deals captured 44% ($692M) of total dollars and 27 later stage deals 29% ($462M); there were 45 seed stage deals that totaled $55M

Quebec captured the largest share (39%) of Canadian VC Debt deals ($54M over 43 deals)

Key Findings


source:

2

6

11

15

16577

39

199$1.6b

$2.4bOntario

$1.3bBC

$1MYukon

$227MAlberta

Québec

Nova Scotia$67M

New Brunswick$16M

$114MSaskatchewan

$4MManitoba

Prince EdwardIsland

$0.6M

Newfoundlandand Labrador

$524M

1

1

23

VENTURE CAPITAL HEAT MAP // 2019

$6.2btotal 539 deals

total #


source:

0

10

20

30

40

50

60

70

80

90

100

110

$0

$50

$100

$150

$200

$250

$300

$350

$400

$450

$500

$550

Q2Q1 Q1Q4Q3Q2Q1Q4Q3Q2Q1Q4Q3Q2Q1 Q3

$61

$187

$227

$217

$124

$176

$378

$548

$508

$109

$244

$292

$500

$198

Q2

$358

Q3 Q4

$517

$500

$371

38

37

61

3327

55

48

$267

Q4$2

03

3328

32

32

46

3337

50

31 32

40 41

2015 2016 2017 2018 2019

49

TOTAL:169 DEALS

$693M

TOTAL:163 DEALS

$965M

TOTAL:144 DEALS

$1.6B

TOTAL:142 DEALS

$1.2B

TOTAL:165 DEALS

$1.6B

$ Millions Invested # Deals

QUARTER-OVER-QUARTER VC INVESTMENT IN QUÉBEC


source:

Total Deals $ Millions

< $100K

$100 - $500K

$500K - $1M

$1M - $5M

$5M - $20M

$20M - $50M

$50M +

10

18

15

53

28

10

8

$1

$5

$11

$124

$260

$294

$880

$1m-$5m

VC ACTIVITY BY DEAL SIZE // 2019

were between

almost one thirdof all deals


source:

$0

$60

$120$180

$240

$300

$360

$420

$480

$540

$600

$660

$720

$780

$840

0

10

2030

40

50

60

70

80

100

90

110

120

140

130

150$900

201720162015 2015 20172016 20162015 20152017 20172016

$317

$449

2018201820182018 2019 2019 2019 2019

$849

$590

$885

$301

$288

$24

$300

121010 13 15 1411

36 36

15

3832

6976

49

8

15

69

8985

ICT Life Sciences CleanTech Agribusiness

$61

$30

$67

$341

$405

$341

$53

$109

$68

$104

$66

VC SECTOR BREAKDOWN // 2015–2019



source:

$0

$60

$120

$180

$240

$300

$360

$420

$480

$540

$600

$660

$720

$780

0

10

20

30

40

50

60

70

80

100

90

110

130

120

140$840

20162015 20162015 20162015

$358

$291

201720172017$4

14

$722

$513

45

36

40

52

45

73

97

80

49

81

27

5

47

3023

31

$831

Seed Early Stage Later Stage GrowthEquity

$27

$39

$49

2018

$55

$50

2018 2018 201920192019

$397

$692

$621

$462

2019

$358

VC STAGE BREAKDOWN // 2015–2019



source:

$54M

$76mOntario

$36MBC

$1MAlberta

Québec

New Brunswick$7M

$3MSaskatchewan

7

4318

2

3 36

$0MManitoba

1

Newfoundlandand Labrador

$1M1

VENTURE DEBT* HEAT MAP // 2019

$177mtotal 111 deals

total #

* VC Debt deals are not included in the overall Quebec VC activity


source:

TOP 10 DISCLOSED QUÉBEC VC DEALS // 2019

company name Administrative Centre Disclosed Investors sector $MIL

COVEO SOLUTIONS INC. QUÉBEC EVERGREEN COAST CAPITAL CORP., FONDS DE SOLIDARITÉ FTQ, INVESTISSEMENT QUÉBEC, OMERS PRIVATE EQUITY INC. ICT $227

ELEMENT AI INC. MONTRÉALBDC CAPITAL CO-INVESTMENTS, CAISSE DE DÉPÔT ET PLACEMENT DU QUÉBEC (CDPQ), DATA COLLECTIVE, HANWHA INVESTMENT CORP, INVESTISSEMENT QUÉBEC, MCKINSEY & COMPANY, REAL VENTURES

ICT $200

REPARE THERAPEUTICS INC. MONTRÉALBDC HEALTHCARE VENTURE FUND, BVF PARTNERS L.P., COWEN HEALTHCARE INVESTMENTS, FONDS DE SOLIDARITÉ FTQ, LOGOS GLOBAL MANAGEMENT LLC, ORBIMED ADVISORS, LLC, REDMILE GROUP, VERSANT VENTURE MANAGEMENT, LLC

LIFE SCIENCES $109

ENERKEM INC. MONTRÉALBRAEMAR ENERGY VENTURES, CYCLE CAPITAL MANAGEMENT/ECOFUEL, FONDACTION CSN, FONDS DE SOLIDARITÉ FTQ, INVESTISSEMENT QUÉBEC, NATIONAL BANK OF CANADA, RHO CANADA VENTURES

CLEANTECH $76

STRADIGI AI INC. MONTRÉAL FONDS DE SOLIDARITÉ FTQ, HOLDUN FAMILY OFFICE, INVESTISSEMENT QUÉBEC, SEGOVIA CAPITAL LTD., CDN PRIVATE INVESTORS ICT $53

NEUVOO INCORPORATED MONTRÉAL CAISSE DE DÉPÔT ET PLACEMENT DU QUÉBEC (CDPQ) ICT $53

DIALOGUE TECHNOLOGIES INC. MONTRÉALCAISSE DE DÉPÔT ET PLACEMENT DU QUÉBEC (CDPQ), FIRST ASCENT VENTURES, HV HOLTZBRINCK VENTURES, NATIONAL BANK OF CANADA, PORTAG3 VENTURES, WALTER CAPITAL PARTNERS INC., WHITE STAR CAPITAL INC.

LIFE SCIENCES $40

ALAYACARE INC. MONTRÉAL INOVIA CAPITAL INC., INVESTISSEMENT QUÉBEC, CAISSE DE DÉPÔT ET PLACEMENT DU QUÉBEC (CDPQ), DESJARDINS CAPITAL LIFE SCIENCES $33

LANDR AUDIO INC. MONTRÉAL FONDS DE SOLIDARITÉ FTQ, INVESTISSEMENT QUÉBEC, YUL VENTURES MANAGEMENT INC. ICT $26

RENORUN INC. MONTRÉAL INOVIA CAPITAL INC., MAPLE VC, OBVIOUS VENTURES MANAGEMENT, L.L.C., REAL VENTURES, SCALEUP VENTURES, SILICON VALLEY BANK OTHER $23

There were 6 undisclosed deals totaling $294M that were not included in this table


source:

TOP DISCLOSED VC EXITS // 2019

vc investors company sector exit transaction acquired by close date $ mil.CAISSE DE DÉPÔT ET PLACEMENT DU QUÉBEC (CDPQ), INOVIA CAPITAL INC., TERALYS CAPITAL, INVESTISSEMENT QUÉBEC, ACCEL

LIGHTSPEED POS INC. ICT IPO IPO ON TMX 2019-03-08 $1,083

BDC HEALTHCARE FUND, FONDS DE SOLIDARITÉ FTQ, DOMAIN ASSOCIATES LLC, INOVIA CAPITAL, VENROCK ASSOCIATES, NOVO NORDISK A/S, FORBION CAPITAL, GO CAPITAL LLC, PAPPAS CAPITAL

MILESTONE PHARMACEUTICALS INC. LIFE SCIENCES IPO IPO ON NASDAQ 2019-05-08 $468

FONDS DE SOLIDARITÉ FTQ, INVESTISSEMENT QUÉBEC, MCROCK CAPITAL CORPORATION, MUNICH RE / HSB VENTURES, WHITE STAR CAPITAL INC.

MNUBO INC. ICT M&A ASPEN TECHNOLOGY 2019-07-12 $115

INVESTISSEMENT QUÉBEC, TELESYSTEM LTD., GRUPO CORPORATIVO FUERTES, DESJARDINS CAPITAL, INNOVATECH QUÉBEC ET CHAUDIÈRE-APPALACHES, ECHO CAPITAL FIER OUTAOUAIS, ACCÈS CAPITAL QUÉBEC, INFU CAPITAL

PREVTEC MICROBIA INC. LIFE SCIENCES M&A ELANCO 2019-08-01 $79

There were 13 additional M&A exits totalling $157M


source:

$211 $724 $344 $682 $583 $138 $18 $122

$209 $32

# Rounds

Desjardins Capital

Investissement Québec

Real Ventures

Fonds de solidarité FTQ

BDC Capital Inc.

Cycle Capital Management/Ecofuel

Panache Ventures

inovia Capital Inc.

Réseau Anges Québec

Anges Québec Capital

363330251614119

6618

Size of Total Rounds* (Cdn$ mil)

MOST ACTIVE VC INVESTORS IN QUÉBEC // 2019

* Total Deal Values - includes all participating investors

PRIVATE EQUITY QUÉBEC MARKET OVERVIEW

// 2019


source:

60% of All Canadian PE Deals Went to Quebec-based Companies(41% more investment than in 2018)

Among the largest disclosed PE deals in 2019:

$5.2B recap of Montreal-based Garda World Security Corp. by a European investor

$653M financing of Montérégie-based McInnis Cement Inc. from Caisse de dépôt et placement du Québec (CDPQ)

CAD $385M PE recapitalization by Caisse de dépôt et placement du Québec (CDPQ) of Montreal-based Quebec Iron Ore, a subsidiary of TSX-listed Champion Iron Limited, with operations in northern Quebec

CAD $300M follow on financing of La Coop fédérée by a syndicate which included Caisse de dépôt et placement du Québec (CDPQ), Desjardins Capital, Fondaction CSN and Fonds de solidarité FTQ

The private equity exit environment in 2019 saw 20 exits totalling $117M from Quebec-based companies.

“Quebec can rely on a strong and sophisticated venture capital and private equity industry, and private investors are present to support companies in their innovation and growth project”

— Daniel Charron, CEO of Réseau Capital

In private equity, $6.5B was invested in the last quarter of 2019, close to 2.5 times the amount invested in Q4 2018 bringing the total PE investment to $9.7B over 332 deals; 41% higher than CAD $6.9B in 2018.

FOREWORD


source:

QUÉBEC PRIVATE EQUITY HIGHLIGHTS // 2019

Key Findings

Q4 2019 PE Highlights

The average deal size almost doubled compared to Q4 2018 from $32.6M to $96.1MThe largest deal that closed in Q4 was the $5.2B recap of Montreal-based Garda

World Security Corp. by a European investor

2019 PE Highlights

The average deal size this year increased 49% from $19.6M in 2018 to $29.3MQuébec captured 6 out of 10 of all Canadian PE deals (332 out of 526)4 out of every 10 deals were between $1M-$5M, with deals between $5M-$25M

capturing a 22% share of the province’s deal flow30% of deals (98 out of 332) went to companies in the Industrial and Manufacturing

sector, with a 14% share (45 deals) going to Agri-forestry companies and 13% share to the ICT sector (44 deals)


source:

5

6

332

98$610M

BC $5.2bAlberta $186M

Saskatchewan $3MManitoba

$3.2bOntario

$9.7bQuébec

NANew Brunswick

$16mPrince Edward

Island

19

2847

$19btotal

526 deals

PRIVATE EQUITY HEAT MAP // 2019

total #


source:

TOTAL:176 DEALS

$5.5B

TOTAL:348 DEALS

$3.8B

TOTAL:334 DEALS

$10.6B

TOTAL:352 DEALS

$6.9B

TOTAL:332 DEALS

$9.7B

QUARTER-OVER-QUARTER PE INVESTMENT ACTIVITY

$0

$1,000

$2,000

$3,000

$4,000

$5,000

$6,000

$7,000

Q2Q1 Q1Q4Q3Q2Q1Q4Q3Q2Q1

$1,7

29

$267

$2,5

56

$905

$1,2

55

$913

30

49 46 51

87 92

Q3

86

$620

Q2

$1,0

38

$2,8

60

$1,3

22

Q3

$4,2

66

Q4 Q1

$2,12

3

$1,10

8

$2,0

53

$1,0

67

$2,6

76

$996

Q2

$804

83

63

96

8788 90

82

70

82

Q4

2015 20192016 2017 2018

0

20

40

60

80

100

120

140

98 101

Q3

$1,4

74

Q4

$6,4

51

94

67



source:

Total Deals $ Millions

< $100K

$100K - $500K

$500K - $1M

$1M - $5M

$5M - $25M

$25M - $100M

$100M - $500M

$500M-$1B

$1B-$2.5B

5

37

33

119

74

16

8

1

1

$0

$10

$21

$259

$734

$898

$1,949

$653

$5,200

8 out of every 10 deals

were below

PE ACTIVITY BY DEAL SIZE // 2019

$25m


source:

98

45

44

38

32

21

18

10

9

7

6

3

1

# Deals $ Millions

Industrial & Manufacturing

Agri-Forestry

ICT

Business Products & Services

Consumer & Retail

Mining & Resources

Automotive & Transportation

Life Sciences

CleanTech

Real Estate

Others

Financial

Oil & Gas, Power

$1,223

$543

$951

$243

$350

$524

$393

$43

$50

$44

$5,360

$1

$1

PE SECTOR BREAKDOWN // 2019

most active sectorindustrial & manufacturing

98 deals


source:

TOP DISCLOSED QUÉBEC PE DEALS // 2019

company name administrative centre disclosed investors sector $ mil

GARDA WORLD SECURITY CORP. MONTRÉAL BC PARTNERS OTHER $5,200

MCINNIS CEMENT INC. MONTÉRÉGIE CAISSE DE DÉPÔT ET PLACEMENT DU QUÉBEC (CDPQ)] INDUSTRIAL & MANUFACTURING $653

QUEBEC IRON ORE MONTRÉAL CAISSE DE DÉPÔT ET PLACEMENT DU QUÉBEC (CDPQ) MINING & RESOURCES $385

LA COOP FÉDÉRÉE QUÉBEC CAISSE DE DÉPÔT ET PLACEMENT DU QUÉBEC (CDPQ), DESJARDINS CAPITAL, FONDACTION CSN, FONDS DE SOLIDARITÉ FTQ AGRI-FORESTRY $300

GROUPE JLD LAVAL BDC CAPITAL INC., FONDACTION CSN, FONDS DE SOLIDARITÉ FTQ INDUSTRIAL & MANUFACTURING $103

UNI-SELECT INC. MONTRÉAL BIRCH HILL EQUITY PARTNERS MANAGEMENT INC. AUTOMOTIVE & TRANSPORTATION $75

GROUPE R.Y. BEAUDOIN INC. CENTRE-DU-QUÉBEC FONDACTION CSN INDUSTRIAL & MANUFACTURING $34

OSF COMMERCE QUÉBEC DELTA-V CAPITAL, LLC, SALESFORCE VENTURES ICT $31

There were 16 additional undisclosed deals in Quebec-based companies totalling over $1.9B that were not included in this list


source:

TOP DISCLOSED PE EXITS IN QUÉBEC // 2019

seller company buyer $MIL

FONDACTION SOLUTIONS DE RECONNAISSANCE RIDEAU INC. NA $13

FONDACTION 10551686 CANADA INC. NA $11

FONDACTION SOCIÉTÉ IMMOBILIÈRE SAINT-URBAIN S.E.C. NA $7

FONDACTION SYSTÈMES HAIVISION INC. NA $4

There were 16 additional exits from Quebec-based companies totalling over $82M


source:

# Deals $ Millions*

Desjardins Capital

Fonds de solidarité FTQ

Fondaction CSN

Investissement Québec

BDC Capital Inc.

Caisse de dépôt et placement du Québec

Espresso Capital Ltd.

145

103

32

19

15

14

11

$1,035

$2,213

$817

$305

$180

$1,735

$8

MOST ACTIVE PE INVESTORS IN QUÉBEC // 2019

* Total deal values – includes all participating investors

most active PE FIRM

145 DEALSDEsjardins capital


source:

CVCA METHODOLOGY // VENTURE CAPITAL

VENTURE CAPITAL DATA:Verified completed equity, quasi-equity venture capital and venture debt deals only (non-equity or project-based government funding, pharmaceutical development deals, venture capital-backed acquisitions, and angel financing are not included)

VENTURE DEBT SHORT-TO-MEDIUM TERM, NON-DILUTIVE DEBT INSTRUMENT WITH NO EQUITY RIDER.

SEED STAGE COMPANY HAS A CONCEPT OR PRODUCT UNDER DEVELOPMENT, BUT IS PROBABLY NOT FULLY OPERATIONAL.

EARLY STAGE COMPANY HAS A PRODUCT OR SERVICE IN TESTING OR PILOT PRODUCTION. IN SOME CASES, THE PRODUCT MAY BE COMMERCIALLY AVAILABLE.

LATER STAGE PRODUCT OR SERVICE IN PRODUCTION AND COMMERCIALLY AVAILABLE. COMPANY IS GENERATING ON-GOING REVENUE, BUT NOT NECESSARILY, PROFITABLE.

GROWTH SIGNIFICANT MINORITY INVESTMENT TO DRIVE GROWTH AND SCALE WHICH CAN BE COMBINED WITH A SECONDARY TRANSACTION TO FACILITATE LIQUIDITY FOR EXISTING VC INVESTORS

ICT COMPUTER HARDWARE AND SOFTWARE AND SERVICES, INTERNET SOFTWARE OR SERVICES, ECOMMERCE, ELECTRONIC & SEMICONDUCTOR, MOBILE AND TELECOM TECHNOLOGIES AND SERVICES.

LIFE SCIENCES BIOTECH, MEDICAL DEVICES, PHARMACEUTICALS, EHEALTH, HEALTHCARE PRODUCTS AND SERVICES, AND OTHER MEDICAL RELATED PRODUCTS AND SERVICES.

CLEANTECH ENERGY AND FUEL TECHNOLOGIES, EFFICIENCY AND CONSERVATION, RENEWAL ENERGY, ENVIRONMENTAL TECHNOLOGIES AND OTHER ENERGY AND ENVIRONMENTAL PRODUCTS AND SERVICES.

AGRIBUSINESS TRADITIONAL AND ADVANCED AGRICULTURAL TECHNOLOGIES AND SERVICES

vc development stages

vc sectors


source:

CVCA METHODOLOGY // PRIVATE EQUITY

PRIVATE EQUITY DATA:Dataset includes only completed private equity deals (announced but yet to be completed deals are not included)

BUYOUT INVESTMENT FOR THE CONTROL OF A PORTFOLIO COMPANY, INCLUDING PLATFORM CREATION, SECONDARY BUYOUT

GROWTH SIGNIFICANT MINORITY INVESTMENT INTO A PORTFOLIO COMPANY, THROUGH NEW CAPITAL INFUSION AND RECAPITALIZATION

ADD-ON CORPORATE ACQUISITIONS BY MAJORITY CONTROLLED PE BACKED PORTFOLIO COMPANIES

DEBT DEBT INVESTMENT INTO PORTFOLIO COMPANIES

INFRASTRUCTURE INVESTMENTS INTO DEVELOPMENT AND MANAGEMENT OF INFRASTRUCTURE ASSETS BUT PE DOES NOT OWN THE UNDERLYING ASSETS

AGRI-FORESTRY AGRICULTURE, FOODS AND FORESTRY

AUTOMOTIVE & TRANSPORTATION TRANSPORTATION, LOGISTICS AND RELATED SERVICES

BUSINESS PRODUCTS & SERVICES BUSINESS PRODUCTS AND SERVICES

CLEANTECH ENERGY AND FUEL TECHNOLOGIES, EFFICIENCY AND CONSERVATION, RENEWAL ENERGY, ENVIRONMENTAL TECHNOLOGIES AND OTHER ENERGY AND ENVIRONMENTAL PRODUCTS AND SERVICES

pe deal type

pe sectors


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CVCA METHODOLOGY // PRIVATE EQUITY

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CONSUMER & RETAIL CONSUMER PRODUCTS AND SERVICES, BRICK AND MORTAR RETAIL

FINANCIAL FINANCIAL SERVICES

ICT COMPUTER HARDWARE/SOFTWARE & SERVICES, INTERNET SOFTWARE & SERVICES, ECOMMERCE, ELECTRONIC & SEMICONDUCTOR, MOBILE & TELECOM AND SERVICES

INDUSTRIAL & MANUFACTURING EQUIPMENT AND MATERIAL MANUFACTURING

LIFE SCIENCES BIOTECH, MEDICAL DEVICES, PHARMACEUTICALS, EHEALTH, HEALTHCARE PRODUCTS AND SERVICES, AND OTHER MEDICAL RELATED PRODUCTS AND SERVICES

MINING & RESOURCES NON OIL AND GAS NATURAL RESOURCES

OIL & GAS, POWER OIL & GAS, POWER AND UTILITIES

REAL ESTATE PROPERTY DEVELOPMENT AND MANAGEMENT

pe sectors


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CVCA / RÉSEAU CAPITAL ABOUT & CONTACT

About CVCAOUR VISIONA thriving Canadian economy driven by private capital

OUR MISSION CVCA’s mission is to help our members fuel the economy of the future by growing the businesses of today. We do this by supporting and connecting a vibrant private capital industry with advocacy, research, and education.

CVCA is also the nation’s ultimate resource for data on Canadian private capital investments.

Please visit cvca.ca

@CVCACanada CVCA

CVCA - Canadian Venture Capital and Private Equity Association

372 Bay St., Suite 1201 Toronto, ON M5H 2W9

About Réseau CapitalRéseau Capital, the Québec Venture Capital and Private Equity Association, is the only private equity association that brings together all stakeholders involved in the Québec investment chain. The mission of Réseau Capital is to contribute to the development and efficient operation of the private equity industry, which plays a major role in the development and financing of businesses in Québec.

Founded in 1989, Réseau Capital represents private equity, tax-advantaged and public investment companies as well as banks, accounting and law firms, along with many professionals working in the field.

To arrange for an interview, please contact:Catherine Berbery | 514-880-2372 | [email protected]

For more information, visit reseaucapital.com

@reseaucapital Réseau Capital

Espace CDPQ – 3 Place Ville-Marie, suite 12350, Level L, Montréal, QC H3B 0E7

To obtain estimates for additional custom CVCA Intelligence data reports please contact [email protected]

Authorsdarrell pinto vp, research & industry [email protected] | 416-487-0519 ext. 208

david kornacki associate, research & [email protected] | 416-487-0519 ext. 202

jon jackson head of [email protected] | 416-487-0519 ext. 201

VC & PE QUÉBEC MARKET OVERVIEW // 2019...based Coveo Solutions Inc. by a syndicate that included...

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