MONTREAL, June 27, 2011 /CNW Telbec/ - The Caisse de dépôt et placement
du Québec announces an investment in the construction of a
containerboard mill in Niagara Falls, New York. This large-scale
project will be managed by the Norampac division of Cascades Inc. The
Caisse's US$74 M investment includes an equity investment of US$28.3 M
and a subordinated loan of $US45.75 M.
"This investment is in line with our commitment to contributing to the
economic development of Quebec by helping local firms accelerate their
international growth," declared Normand Provost, Executive
Vice-President, Private Equity, and Chief Operations Officer at the
Caisse. "Cascades is a company we know well, and this is a top-quality
project offering attractive returns for a long-term investor such as
The Caisse and Cascades have been partners for many years, and the
containerboard mill is the largest joint project of the two
"The Caisse played a key role in the funding of this project, and we are
delighted to be able to rely once again on the trust of this Quebec
institution as we pursue our international expansion strategy," noted
Alain Lemaire, President and Chief Executive Officer of Cascades. "This
mill will strengthen our presence in the North American market."
"This is another prime example of the significant contributions made by
the Caisse to the growth of Quebec companies, which must continually
innovate to remain competitive. This state-of-the-art mill will enable
Cascades to remain at the forefront of its industry and a leader in
environmental stewardship," added Provost.
ABOUT THE GREENPAC MILL
The Greenpac mill will be built at a cost of US$430 million on property
adjacent to an existing Norampac facility in Niagara Falls, New York.
Construction will begin in July 2011 and the start-up is planned for
Founded in 1964, Cascades produces, converts, and markets packaging and
tissue products composed mainly of recycled fibres. The company employs
more than 11,000 men and women at more than 100 operating divisions in
North America and Europe. Its management philosophy, its more than 45
years' recycling experience, and its on-going research and development
efforts are strengths that enable Cascades to create innovative
products for its customers. Cascades' shares trade on the Toronto Stock
Exchange under the ticker symbol CAS.
ABOUT THE CAISSE DE DÉPÔT ET PLACEMENT DU QUÉBEC
The Caisse de dépôt et placement du Québec is a financial institution
that manages funds primarily for public and private pension and
insurance plans. As at December 31, 2010, it held $151.7 billion in net
assets. As one of Canada's leading institutional fund managers, the
Caisse invests in major financial markets, private equity and real
estate. For more information: www.lacaisse.com.
SOURCE CAISSE DE DEPOT ET PLACEMENT DU QUEBEC
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