Pension Pulse

Private Capital Journal reports CDPQ acquires significant minority stake in Solotech: CDPQ today announced it acquired a significant minority stake in Solotech, a global leader in audiovisual and entertainment technology. The transaction, which represents the largest investment in the company since 2013, is to support Solotech’s acquisition and organic growth strategy to expand its presence in various markets and create more value for its customers. In October 2013, Claridge, in partnership with Desjardins Capital’s Capital régional et coopératif Desjardins and Investissement Québec, acquired Solotech. With its investment, CDPQ has becomes second largest shareholder behind Claridge. Founded 45 years ago, Solotech is a world leader in audiovisual and entertainment technology with 20 strategic locations in Canada, the United States, Europe and Asia. Solotech is the single source for audio, video, lighting, rigging, soft goods, control and collaboration solutions and service...

Florence Chong of IPE Real Assets reports AIMCo and New Agriculture buy A$300m Western Australia cattle breeding business: Alberta Investment Management Corporation (AIMCo) and New Agriculture have bought a large-scale cattle breeding business in the Kimberley region of Western Australia in a transaction IPE Real Assets understands to be worth around A$300m (€181m). The pair announced the acquisition of the 3m-hectare Kimberley Cattle Portfolio from Chinese investor Shimao Group, without disclosing financial details. As part of the agreement, Haydn and Jane Sale will be retained as managers of the Kimberley Cattle Portfolio. This is the second significant acquisition by AIMCo, which bought the mixed farming business, Lawson Grains , in January 2022 for around A$600m. AIMCo, one of Canada’s largest institutional investment managers, has invested in Australia for many years, firstly in forestry with New Forests, which created a division, New Agriculture , last year to both manage...

Liam O'Callaghan of Asiafruit and Produce Plus reports Montague and Pomona Valley to merge: Ontario Teachers’ Pension Plan (Ontario Teachers’) and its Australian agriculture subsidiary AustOn Corporation (AustOn) have announced a new strategic partnership with leading Australian grower-packer-marketer Montague. As part of this partnership, Pomona Valley, a subsidiary of Ontario Teachers’, will acquire a majority equity interest in Montague, with Scott Montague retaining an ownership stake in the business. Pomona Valley and Montague will merge to form one business with Scott taking on the role of general manager of the merged operations. Scott Montague (featured above), managing director of Montague, said the partnership would create new opportunities. “The partnership with AustOn and the merger with Pomona Valley signals the next exciting stage in the growth of Montague. The financial backing of a global investor in agriculture opens a range of possibilities that both...

Ryan Tumilty of Post Media reports pensions push back on Liberal government pressure to invest more in Canada: The Liberal government’s plan to try to get Canadian pension plans to direct more investment in Canada has led to warnings about risking pension returns for political purposes. In this week’s fall economic update , the government made it clear would like to see more of the trillions of dollars pensions have under management spent at home, although it has not made any moves to require it. “Canada is one of the safest and most attractive investment destinations in the world — whether it is for the clean economy and major infrastructure projects, or new housing, or supporting our innovative companies,” reads the fall economic statement. “The federal government believes that continued domestic investments by Canada’s pension funds have the potential to boost Canada’s economy and create good careers for people across the country.” The statement said government would wo...

Earlier today, I spoke with Peter Letko and Daniel Brosseau of LetkoBrosseau Global Investment Management to set the record straight on where they stand on Canadian pension funds investing more in Canada. Before I get to that conversation, AIMCo's CEO Evan Siddall wrote an op-ed for the Globe and Mail stating the federal government government should not be pushing pension funds to invest more in Canada: The Canadian model of pension investment management is seen around the world as the gold standard in safeguarding retirement savings. Despite defining the standard, Canada’s retirement system is under pressure. We should all be concerned. Our high ratings have fallen, according to the Mercer CFA Institute Global Pension Index 2023 , primarily because of mounting concerns about the ability of plans to operate in the most efficient manner, unfettered by political influence. Finance Minister Chrystia Freeland’s fall economic statement did not help. It included proposals that ...

James Bradshaw of the Globe and Mail reports Federal government urges pension funds to invest more assets in Canada: Ottawa wants Canadian pension funds to invest a larger share of their assets in Canada and is promising measures to make it a more attractive option, as advocates for raising domestic investment have clashed with pension managers intent on guarding their independence. The federal government pledged in its fall economic statement on Tuesday to “work collaboratively” with Canadian pension funds to create an environment that encourages them to put more of the trillions of dollars of assets they collectively manage to work domestically. Ottawa gave few details about how it plans to do that. But its decision to add pension investment to its priorities comes after lobbying from investment industry professionals who argue pension funds have underinvested in Canadian public markets, sapping precious capital from the country. That has put pension fund managers on ...