Desjardins announces $500M Desjardins Capital SME fund

Desjardins Group announced today the creation of Desjardins Capital SME fund to be funded by Desjardins Private Wealth Management and Desjardins Capital.

Both partners are committed to an initial capitalization of at least $100 million per year. The new fund will be managed by Desjardins Capital.

“We’ve listened to our clients who want to diversify their investment portfolios. We’ve also listened to business leaders in Quebec who are looking for patient investors to ensure sustainability and ownership transfers, while protecting Quebec businesses,” said Guy Cormier, President and CEO of Desjardins Group. “These two Desjardins Group managers will work together to create value for Quebec’s business owners, CRCD’s 101,000 shareholders and the investors who rely on Desjardins to help them make sound investment decisions.”

Desjardins Capital SME fund could commit up to a $500 million in investments over the next five years. Investments could range from $100,000 to $10 million per company in the form of equity or subordinated debt.

“The appeal of private investments and the low interest rate environment are leading investors to seek access to asset classes such as financing to grow their SMEs. And it’s good to know that they can count on the expertise of our new fund manager, Desjardins Capital, known for managing development capital across Quebec,” said Cormier.

photo credit: Desjardins Private Wealth Management and Desjardins Capital

Ted Liu

Ted Liu, M.Sc. (Mining, Queen's), MBA (Finance, Toronto), is the Editor of Private Capital Journal, CanadaMetals.ca, TechWire.ca, and the former Editor of Canadian Private Equity. Ted has been passionately tracking Canadian private capital industry since 1992, having most recently served as Research Director for The Canadian Venture Capital and Private Equity Association (CVCA).

Ted is the architect of CVCA infobase, and is the architect of CPE Media's Financings.ca, Canada's most sophisticated and advanced all private capital and public market financing database.