MONTREAL – Food distributor Colabor Group Inc. (TSX:GCL) said Thursday it has received $30 million in financing from agreements with Quebec’s pension fund manager and a major bank.
The Caisse de depot et placement du Quebec has invested $15 million in Colabor, the largest independent food distributor in the province. The rest of the funds will come from National Bank Financial (TSX:NA).
The move is part of an expansion plan by the wholesaler, which serves 25,000 clients in food services and through retail sales, the company said on its website.
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Colabor recently acquired T. Lauzon Ltd., which supplies goods to hotels and restaurants in Quebec, while making several other acquisitions in recent years as a move into eastern Canada.
The company says it will also use the money to improve its operations and reduce its debt.
Colabor shares were three cents higher Thursday to $7.72 on the Toronto Stock Exchange.
“Colabor’s expansion is notable for a series of acquisitions it has made over the last few years,” said Normand Provost, executive vice-president of Caisse’s private equity division in a release.
“By collaborating in the financing of Colabor, the Caisse is taking part in the growth of a Quebec company that plays a major role in its industry.”
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