Novacap, one of Canada’s leading private equity firms, has launched a financial services fund with its first closing at C$260m.
Novacap Financial Services I is backed by commitments from corporate and public pension funds, financial institutions, family offices and high net-worth individuals.
The fund has a final target of C$500m with a second group of institutional investors expected to close in Q1 2020.
Managed by Marcel Larochelle as Managing Partner, as well as Rajiv Bahl and Alain Miquelon as Senior Partners, the vehicle aims to invest in mid-market companies established in North America, with a focus on Canada, with strong growth potential.
Four segments are of particular interest:
– 1-specialty insurance and distribution,
– 2-asset and wealth management,
– 3-alternative lending and
– 4-financial infrastructure.
The fund will make equity investments in order to support companies with their organic growth initiatives and to drive strategic acquisitions.