Fonds de solidarité FTQ and Capital régional et coopératif Desjardins invest $100 million in La Coop fédérée
Montréal, June 14, 2012 – La Coop fédérée, Québec’s largest agri-food company and among the 100 largest cooperatives and mutual societies in the world, today announced that the Fonds de solidarité FTQ and Capital régional et coopératif Desjardins will be making a $100 million equity investment in the company.
The Fonds de solidarité FTQ and Capital régional et coopératif Desjardins are acquiring, respectively, $50 million and $25 million in preferred shares. The latter will also convert an existing debt of $25 million into preferred shares by August 2015. The proceeds will be used for La Coop’s general needs and to support its growth.
“We are extremely pleased with this sign of confidence from such pillars of the Québec economy as Fonds de solidarité FTQ and Desjardins during this International Year of Cooperatives. The fact that such high quality partners, who so clearly understand the issues in developing the cooperative movement and regional economies are supporting La Coop bodes well for our future. The funds will be put to good use immediately,” said La Coop’s CEO, Claude Lafleur.
“The Fonds de solidarité FTQ is proud to partner with La Coop fédérée, a key player in Québec’s agri-food industry. Given its role in the Quebec economy and contribution to creating and maintaining jobs in Québec, it made perfect sense for the Fonds to support them, especially during the International Year of Cooperatives,” added Yvon Bolduc, president and CEO of the Fonds de solidarité FTQ.
“We have always sought to contribute to Québec’s development by playing a leading role in the development of cooperatives and the regions. Our investment in this flagship co-op fits perfectly into this vision and we are very happy to increase our support to help them get ahead,” said Marie-Claude Boisvert, Chief Operating Office of Desjardins Venture Capital, the manager of Capital régional et coopératif Desjardins.
About La Coop fédérée
Founded in 1922, La Coop fédérée is the largest agri-food company in Quebec and ranks among the 100 largest co-operatives and mutual societies in the world, all sectors combined. It is owned by more than 90,000 members grouped into 103 cooperatives located in several Canadian provinces. La Coop fédérée is present throughout the food chain and, as a wholesaler, provides agricultural producers the goods and services needed to operate their businesses. The network has five banners: Elite and La Coop (animal and crop production, grain marketing), Unimat (hardware and farm machinery), Sonic (energy) and Olymel (meat processing). La Coop fédérée employs over 10,000 people with sales totalling $4.6 billion.
About the Fonds de solidarité FTQ
The Fonds de solidarité FTQ helps drive our economy. With net assets of $8.2 billion as at November 30, 2011, the Fonds is a development capital fund that channels the savings of Quebecers into investments in all sectors of the economy to help create and maintain jobs at home and further Québec's development. The Fonds is a partner, either directly or through its network members, in 2,129 companies. With its 583,235 owner-shareholders, the organization has helped, on its own or with other financial partners, to create, maintain or protect 160,789 jobs. For more information, visit www.fondsftq.com.
About Capital régional et coopératif Desjardins
Capital régional et coopératif Desjardins is a publicly traded company managed by Desjardins Venture Capital. With over 106,000 shareholders and net assets of $1.220 billion, the Company contributes to Québec’s development while driving the growth of cooperatives and the resource regions. Capital régional et coopératif Desjardins directly and indirectly supports close to 210 companies, cooperatives and funds in various industries spanning all the regions of Québec. (www.capitalregional.com)
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Source: La Coop fédérée
Information and interview requests:
La Coop fédérée
Ben Marc Diendéré
Fonds de solidarité FTQ
Senior Advisor, Media Relations and Communications
Telephone: 514 850-4835
Mobile: 514 703-5587
Capital régional et coopératif Desjardins
Telephone: 514 281-7275 - 1 866 866-7000, ext. 7275