MONTREAL, June 28, 2017 /CNW Telbec/ - La Coop fédérée, Quebec's largest agri-food enterprise and the only pan-Canadian agricultural cooperative, is pleased to announce that National Bank of Canada National Bank of Canada, the Fonds de solidarité FTQ, Fondaction CSN, and Capital régional et coopératif Desjardins ("CRCD") are collectively investing $200 million in La Coop fédérée.
A first instalment of $100 million has already been subscribed to and a second instalment for the same amount will be subscribed to between now and the end of 2018 at the request of La Coop fédérée and subject to the provisions of the agreement. For every $100 million segment, National Bank of Canada will contribute $45.0 million, the Fonds de solidarité FTQ $22.5 million, Fondaction $17.5 million and Capital régional et coopératif Desjardins $15.0 million.
This investment is in the form of preferred shares and the invested amounts are paid as share capital into La Coop fédérée. The proceeds from this investment will be used to finance acquisition and capital investment projects that are anticipated in La Coop fédérée's five-year plan.
"For an enterprise, there is no better mark of confidence than for such reputable investors accepting to support us in our growth plans with an addition of long-term capital. This investment, which comes at a time when we have just experienced our best financial results in the 95 years of our existence, will help us pursue our ambitious expansion program in Quebec, elsewhere in Canada, and even internationally," said Gaétan Desroches, Chief Executive Officer of La Coop fédérée.
"We are pleased to partner in such a concrete way with one of the pillars of the Quebec and Canadian economies, commented Louis Vachon, President and Chief Executive Officer of National Bank of Canada. La Coop fédérée is a solid, high performing, and well-managed organization that has always successfully overcome the challenges of the agricultural world."
"With more than thirty years of experience in the agri-food industry, the Fonds de solidarité FTQ is increasingly a leading investor in this sector. The Fonds de solidarité FTQ identified the agri-food sector as a centre of excellence for the Québec economy and is committed to investing more in this area. Its renewed support for the growth of La Coop fédérée, which will begin its global expansion, fits perfectly into this approach," said Gaétan Morin, President and CEO of the Fonds de solidarité FTQ. Our mission is to support local businesses that contribute to economic development and employment in all regions of Quebec, and this is what La Coop fédérée has been doing successfully for almost 100 years."
"For us, it was only fitting to continue to support the development of La Coop fédérée" said Léopold Beaulieu, President and CEO of Fondaction. La Coop fédérée is a flagship of the cooperative world in Quebec, and a first-rate player in our economy and a leader in sustainable development, which are values that lie at the heart of our own raison d'être."
"As an organization that was founded through our own cooperative movement, we are pleased to continue our association with La Coop fédérée, an enterprise that plays a leading role in the development of cooperatives and regions," announced Luc Ménard, Chief Operating Officer of Desjardins Entreprises Capital régional et coopératif, and manager of the Capital régional et coopératif Desjardins.
It is important to note that this new financing is in addition to two major investments in preferred shares in 2012 and 2013, totalling $155 million, from the Fonds de solidarité FTQ ($75 million), Capital régional et coopératif Desjardins ($55 million) and Fondaction ($25 million).
About La Coop fédérée
Founded in 1922, La Coop fédérée is the largest agri-food enterprise in Quebec and it is the 24th largest agri-food cooperative in the world. It represents more than 90,000 members grouped into nearly 70 cooperatives with operations spread out in many Canadian provinces. More than 12,000 people are employed at La Coop which has annual revenues of $6.3 billion. Including its affiliated network, La Coop fédérée has nearly 18,000 employees and consolidated revenue of $9.2 billion. Its activities are separated into three Divisions: Olymel S.E.C (under the Olymel, Flamingo and Lafleur banners), the Agri-business division (under the La Coop and Elite banners), and Groupe BMR under the BMR, Unimat, Agrizone and Potvin & Bouchard banners). For further information, visit www.lacoop.coop. Twitter account: twitter.com/LaCoop_federee.
About National Bank of Canada
With $239 billion in assets as at April 30, 2017, National Bank of Canada, together with its subsidiaries, forms one of Canada's leading integrated financial groups. The Bank has more than 21,000 employees and is widely recognized as a top employer. The Bank's securities are listed on the Toronto Stock Exchange (TSX: NA). Follow the Bank's activities at nbc.ca or via social media such as Facebook, LinkedIn and Twitter.
About the Fonds de solidarité FTQ
The Fonds de solidarité FTQ is a development capital fund that channels the savings of Quebecers into investments. As of November 30, 2016, the organization had $12.2 billion in net assets, and through its current portfolio of investments has helped create and protect over 187,000 jobs. The Fonds is a partner in more than 2,600 companies and has nearly 618,000 shareholder-savers. fondsftq.com
About Fondaction CSN
Fondaction invests in Québec's SMEs to contribute to maintaining and creating jobs in Québec within a context of sustainable development. It manages more than $1.5 billion in assets from the retirement savings of more than 132,000 shareholders. Through its investments or commitments, either directly or through partner or specialized funds, Fondaction supports the development of more than 1,050 SMEs that contribute in a distinctive manner to the economic, social, and environmental development of Québec, in which there are many social economy enterprises.
About Capital régional et coopératif Desjardins
With more than 104,000 shareholders, Capital régional et coopératif Desjardins (CRCD) is a public company with $1,789 million in net assets. CRCD contributes to Québec's economic development using several levers developed with its manager, Desjardins Business Capital régional et coopératif. These levers, with CRCD as the driving force, form its entrepreneurial ecosystem designed to value and nurture the best of Québec entrepreneurship. Through its ecosystem, CRCD supports the growth of nearly 420 businesses, cooperatives, and funds in various industries throughout all Québec regions, helping to create and retain more than 71,300 jobs. (http://www.capitalregional.com/)
SOURCE La Coop fédérée
For further information: La Coop fédérée, Ben Marc Diendéré, Senior Vice-president, Communications, Public Affairsand Brand Management, Email: [email protected]; About National Bank of Canada, Claude Breton, Vice-president, Public Affairs,Telephone: 514 394-8644, Email: [email protected]; Fonds de solidarité FTQ, Patrick McQuilken, Senior Adviser, Media Relations and Communications, Telephone: 514 850-4835, Email: [email protected], Twitter: @FondsFTQ; Fondaction CSN, Isabelle Monette, Media Relations, Telephone: 514 525-5127, Cell Phone: 514 503-4169, Email: [email protected]; Capital régional et coopératif Desjardins, Richard Lacasse, Advisor, Press Relations, Telephone: 418 835-8444, extension 5563163, Email: [email protected]