Novacap acquires a stake in Globe Electric Company
MONTREAL, May 12, 2021 / PRNewswire / – Novacap, one of the From Canada leading private equity firms, in partnership with the Fonds de solidarité FTQ and Fondaction, today announced the acquisition of a majority stake in Globe Electric Company (“Globe Electric”), a Montreal– a company specializing in the design, development, manufacture and marketing of innovative consumer lighting and electrical products.
Founded in 1932, Globe Electric’s unique approach to product development has made it a leader in bringing products to market that meet the growing demand for home features and design. From cutting-edge lighting, design-centric power and charging solutions, to patented technologies and a strong portfolio of connected homes, Globe Electric products are available in over 40,000 points of sale across North America and online on over 20 e-commerce channels.
Edward weinstein, Globe Electric’s third-generation CEO, along with the senior management team, will retain a substantial stake in the company and retain their current roles.
“We are grateful for the enthusiastic support of Novacap and its partners in this transformative transaction for our business,” said Weinstein. “Their passion for what they do matches ours. This investment is real growth capital, which allows us to pursue what we have done best for 90 years: constantly innovating; staying customer-obsessed; taking care for our employees and suppliers; while developing new distribution channels and geographic areas. We will now be able to do this on a larger scale. “
“The Novacap team understands how we have balanced our local heritage and cultural identity with our global ambitions,” Weinstein continued. “They are well placed to support us in the next phase of our development.”
“Globe Electric is a great Canadian achievement, and we are excited to be a part of its next chapter,” said Michel Côté, Senior Partner, Novacap. “Novacap has always been a champion of ambitious owner-entrepreneurs in Quebec, and Globe Electric has embodied this spirit for nearly a century. ”
“Our partnership not only provides capital, but also our extensive experience in building world-class businesses, helping entrepreneurs like Eddie achieve their expansion goals,” said Jamie cartwright, Principal at Novacap, Toronto. “We are very happy to lead this investment alongside the Fonds de solidarité FTQ and Fondaction.”
“We are proud to partner with Globe Electric, Novacap and Fondaction with a significant investment so that the company remains in Quebec hands.” added Janie C. Béïque, President and CEO of the Fonds de solidarité FTQ. “Investing in a better society means supporting the growth of local businesses and quality jobs for Quebec workers. Thanks to a culture of innovation, Globe Electric is well positioned to maintain its market leadership.
“Fondaction believes in the importance of supporting an innovative company at a key moment in its expansion and, as such, invests in Globe Electric alongside Novocap and the Fonds de solidarité FTQ. declared Dominique Chaussé, Deputy Managing Director of Key Account Investments at Fondaction.
Fasken Martineau Dumoulin LLP and Ernst & Young LLP acted as advisers to Novacap.
Houlihan Lokey, Richter LLP, Spiegel Sohmer Inc. and Stikeman Elliot LLP acted as advisers to Globe Electric.
Founded in 1981, Novacap is a leading Canadian private equity firm with over C $ 8 billion in assets under management that has invested in over 90 platform companies and made over 140 complementary acquisitions. By applying its industry approach since 2007 in TMT, Industries and now Financial Services, Novacap’s deep expertise in the field can accelerate business growth and create long-term value. With experienced and dedicated investment and operations teams as well as substantial funding, Novacap has the resources and knowledge to build world-class businesses. Novacap has offices in Brossard, Quebec and Toronto, Ontario. For more information, please visit www.novacap.ca.
About the Fonds de solidarité FTQ
The Fonds de solidarité FTQ invests in a better society thanks to its more than 700,000 shareholder-savers. Through its investments in private equity and venture capital, the Fund seeks to have a positive impact on society, particularly in the health, environment and innovation sectors. With net assets of $ 15.6 billion like a November 30, 2020, the Fund has supported more than 3,300 partner companies and more than 220,000 jobs.
A pioneer for 25 years, Fondaction is the investment fund for those who mobilize for the positive transformation of the Quebec economy. Make our economy more efficient, fairer, more inclusive and greener. As a labor-sponsored fund, Fondaction represents tens of thousands of savers and hundreds of companies committed to advancing Quebec. It manages net assets totaling more than $ 2.6 billion invested in hundreds of companies and in the financial markets, favoring investments that generate positive economic, social and environmental impacts in addition to financial returns. Fondaction contributes to maintaining and creating jobs, reducing inequalities and combating climate change. For more information, see fondaction.com or our LinkedIn Page.
About Globe Electric
Globe Electric is a North American leader and innovator in lighting solutions, electrical products and smart home systems. Called Creative Energy Company, Globe Electric is committed to continuous research and development, providing the best quality products and leaving a positive impact on the lives of consumers. Every product is made with respect ™; our commitment extends to everyone involved in the manufacture of our products, from design to production to delivery, and to our shared natural environment. Globe Electric products can be found at retailers across North America and online. Founded in 1932, Globe Electric is headquartered in Montreal, Quebec. For more information, visit globe-electric.com or contact [email protected]
SOURCE Novacap Management Inc.