Canada’s Buyout & Private Equity Market in Q3 2012, Final ... · Trends in the US buyout-PE...

Canada’s Buyout & Private Equity Market in Q3 2012Canada’s Buyout & Private Equity Market in Q3 2012Canada s Buyout & Private Equity Market in Q3 2012Canada s Buyout & Private Equity Market in Q3 2012

Prepared by Thomson Reuters for Canada’s Venture Capital & p y pPrivate Equity Association

Canadian buyout-PE market trends

C di b d h i i (PE) d l ki i d b i h hi d f 2012 i di iCanadian buyout and other private equity (PE) deal-making sustained a robust pace in the third quarter of 2012, indicatingthat market activity is positioned this year to equal or improve on results reported for 2011. Buyout-PE transactions, bothannounced and closed, totaled 55 between July and September, down a slight 5% from the year before, however, discloseddisbursements, totaling $2.6 billion, rose 78% over the same period.

While most activity remained focused on mid-market opportunities in Q3 2012, a few dollar-intensive deals were key to highervalues. The latter included the second large-cap (i.e., $1 billion-plus) transaction completed in 2012 – the take-privateacquisition of Montréal-headquartered Garda World Security Corp. by Apax Partners and other investors, priced at $1.1billion1. In second spot was the final close of HIG Capital’s buyout of Arctic Glacier, Inc., of Winnipeg for $436 million. Othermajor deals included the Caisse de dépôt et placement du Québec’s $124 million private placement in Longueuil’s InnergexRenewable Energy, Inc., and Madison Dearborn Partners’ $102 million acquisition of Toronto’s QuickPlay Media, Inc.

In the first nine months of 2012, a total of 223 control-stake acquisitions, restructurings, minority equity investments andother PE transactions were announced or closed in the Canadian market, with activity valued at over $8.9 billion (disclosed)2.other PE transactions were announced or closed in the Canadian market, with activity valued at over $8.9 billion (disclosed) .This compares against 201 deals, totaling $9.3 billion (disclosed), in the same nine-month period in 2011. Interestingly, dealvolumes and disbursement flows as of September 30th already surpass market outcomes in both 2009 and 2010.

To date this year, three buyout-PE deals sized $500 million or greater have accounted for 30% of total dollars invested in theCanadian market, while 22 deals sized between $100 million to $500 million have taken 46% of the total amount. Thebalance has been accounted for by 146 transactions sized less than $100 million.

Trends in the US buyout-PE market

American buyout-PE market trends in the first nine months of 2012 were broadly in parallel with trends in the Canadianmarket. Disclosed values of announced and closed deals totaled US$99.1 billion at the end of September, reinforcing signsthat levels of market activity in the United States are likely to approximate levels reported in 2011.

Overview of Canadian Market Activity in Q3 2012Overview of Canadian Market Activity in Q3 2012

1 The acquisition of Q9 Networks, announced and reported in Q2 2012, was closed in October, and will be counted in Q4 2012 market statistics.

2 Of the 223 deals done in total in Canada in the first nine months of 2012, 77% had disclosed dollar values.

Thomson Reuters2

Canadian market trends by sector

C di b PE d l d i h fi i h f h i il f d b i i f iCanadian buyout-PE deals done in the first nine months of the year were primarily focused on businesses in manufacturingand processing, mining, and oil and gas sectors, which accounted for, respectively, 17% , 16% and 14% of the total number.Transactions also gave preference to firms in business services, consumer products and financial services.

When measured by disclosed disbursements, market activity to date in 2012 has been led in the business services sector,which has garnered a 29% share of the total amount, and the oil and gas sector, which has garnered 26%. Other leadingsectors in dollar terms included consumer products, financial services and mining.

Canadian market trends by region

Québec-based businesses accounted for the largest proportion of Canadian buyout-PE deals done in the first nine months of2012, or 36% of the total number, followed by businesses headquartered in Ontario, which assumed a one-quarter share.Substantial shares were also taken in this period by Alberta (16%) and British Columbia (15%).

Throughout the year some of the most dollar-intensive transactions have been located in Québec (e.g., the Garda WorldSecurity Corp. acquisition in Q3 2012), with the result that Québec has captured close to half of all disbursements as ofSeptember 30th. Alberta has accounted for the second-largest amount as of this date, or 23% of the total, followed by Ontariowith 11%.

Canadian investor activity in global markets

Canadian large-market and mid-market funds greatly ratcheted up their international deal-making in the third quarter of2012. Domestic investors led or participated in 22 buyout-PE transactions, reflecting disclosed values totaling $15.5 billion –by far the highest level of activity abroad since the renewal of the global market in early 2010.3

As in the past, a significant proportion of deals in Q3 2012 engaged businesses located in the United States. This trend is wellillustrated in the period’s largest foreign transaction – the US$6.6 billion purchase of Suddenlink Communications, Inc., ofSaint Louis Missouri by BC Partners CPPIB Private Investments and other investors However Canadian funds were also


Saint Louis, Missouri, by BC Partners, CPPIB Private Investments, and other investors. However, Canadian funds were alsohighly active in Europe between July and September, evidenced in Onex Corp.’s control-stake acquisition of the Germanmanufacturer KraussMaffei AG, priced at over US$736 million.

3 Data reflect the total value of disclosed global deals, not the specific “Canadian” investor contributions to these deals.

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To date this year, Canadian funds have led or participated in 55 buyout-PE transactions abroad, already the highest numberrecorded since 2007. Disclosed values for this activity totaled a comparably sizeable $21.1 billion.

Canadian buyout-PE exit activity

Canadian buyout-PE exit activity showed continued vitality in the third quarter of 2012. Domestic and foreign fundrealizations of Canadian-based portfolio holdings in this period contributed to a total of 63 liquidity events as of September30th, a number which already matches the scope of events reported for the whole of last year.

Strategic acquisitions remained at the forefront of these trends, having accounted for 71% of total exits in the first ninemonths. Between July and September, this activity was illustrated by several major transactions, including the completion ofTeachers’ Private Capital’s sale of Toronto-headquartered Maple Leaf Sports and Entertainment, Ltd., to BCE, Inc., and RogersCommunications, Inc., for $1.3 billion. In another example, Canterbury Park Management sold its stake in ParagonPharmacies, Ltd., of Kelowna, British Columbia, to Shoppers Drug Mart, Ltd., for $74 million.

Trends in Canadian buyout-PE fund-raisingTrends in Canadian buyout PE fund raising

In the first nine months of 2012, Canadian buyout, mezzanine and other PE fund-raising activity appeared to remain close onthe heels of activity in 2011. At the end of September, 19 domestic funds had attracted new capital commitments totaling$3.3 billion, or only just behind the $3.7 billion that was committed to 18 funds last year.

Leading fund-raising trends between July and September was the final close of ARC Energy Fund 7, totaling $1.0 billion, thelargest partnership raised so far by Canada’s veteran oil and gas investor ARC Financial Corp of Calgary Toronto’slargest partnership raised so far by Canada s veteran oil and gas investor, ARC Financial Corp. of Calgary. Toronto sWellington Financial LP also announced the first closing of its latest specialty finance partnership, Wellington Financial Fund IV,which brought an additional $178 million into the market.


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1 B t & P i t E it M k t A ti it i C d 1 B t & P i t E it M k t A ti it i C d 1. Buyout & Private Equity Market Activity in Canada 1. Buyout & Private Equity Market Activity in Canada in Q3 2012in Q3 2012

350$30

$26.1

$18 3

240216

283

223250

300

$20

$25

of $CAD

$18.3

$11.3

225

168 150

200

$15

$ 0

# o

f D

eals

ues

: M

illio

ns

o

$5.0

$7.2 $8.9

50

100

$5

$10

Dea

l Val

u

0$0

2007 2008 2009 2010 2011 First 9 Months

Total Deal Values # of Deals

YTD 2012, CanadianYTD 2012, Canadian MarketMarket Activity Activity Approaching Levels in 2011Approaching Levels in 2011BUYOUTBUYOUT‐‐PE DEALS & DISBURSEMENTS (DISCLOSED) IN CANADA, 2007 PE DEALS & DISBURSEMENTS (DISCLOSED) IN CANADA, 2007 –– FIRST 9 MONTHS 2012FIRST 9 MONTHS 2012

NB: For a discussion of key data methodology issues, please see explanatory notes on pg. 26-27.

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$6 306 89

100$7,000

$6,306

6063

80 8279

89

70

80

90

$5,000

$6,000

of $CAD

$2,499$2 255

$4,108

$2,565

60 5855

40

50

60

$3,000

$4,000

ues

: M

illio

ns

o

# o

f D

eals

$1,513 $1,443

$2,034$2,255

10

20

30

$1,000

$2,000

Dea

l Val

u

0$0

Q4'10 Q1'11 Q2'11 Q3'11 Q4'11 Q1'12 Q2'12 Q3'12


Q3 Deal Volume Lags, But Values Up 78% Year Over YearQ3 Deal Volume Lags, But Values Up 78% Year Over YearBUYOUTBUYOUT‐‐PE DEALS & DISBURSEMENTS (DISCLOSED) IN CANADA, Q4 2010 PE DEALS & DISBURSEMENTS (DISCLOSED) IN CANADA, Q4 2010 –– Q3 2012Q3 2012

NB: For a discussion of key data methodology issues, please see explanatory notes on pg. 26-27..

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250

200

250

100

150

# o

f D

eals

50

#

02007 2008 2009 2010 2011 First 9 Months

AnnualizedDomestic Investors Foreign Investors

Canadian Funds Lead DealCanadian Funds Lead Deal‐‐Making, Accounting for 69% of ActivityMaking, Accounting for 69% of ActivityCANADIAN CANADIAN BUYOUTBUYOUT‐‐PE PE DEAL ACTIVITY BY DOMESTIC & FOREIGN INVESTORS, 2007 DEAL ACTIVITY BY DOMESTIC & FOREIGN INVESTORS, 2007 –– FIRST 9 MONTHS 2012FIRST 9 MONTHS 2012

Thomson ReutersThomson Reuters8

Business Services

Oil & Gas

Mining

Manufacturing

Food & Agriculture

IT & Media

Consumer Products

Finance

Distribution & Wholesale

Transportation

Software

Alternative Energy

Healthcare & Life Sciences

0 5 10 15 20 25 30 35 40

Other Industries

Construction & Engineering


Manufacturing, Resource Sectors Drive TransactionsManufacturing, Resource Sectors Drive TransactionsCANADIAN CANADIAN BUYOUTBUYOUT‐‐PE DEAL VOLUME BY SECTOR, FIRST 9 MONTHS 2012PE DEAL VOLUME BY SECTOR, FIRST 9 MONTHS 2012

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Mining

Finance

Oil & Gas

Business Services

Software


Manufacturing

Consumer Products

g


Consruction & Engineering

Food & Agriculture

IT & Media

Alternative Energy

$0 $1 $1 $2 $2 $3 $3

Transportation

Other Industries


Business Services, Oil & Gas Account for Most DollarsBusiness Services, Oil & Gas Account for Most DollarsCANADIAN CANADIAN BUYOUTBUYOUT‐‐PE DISBURSEMENTS (DISCLOSED) BY SECTOR, FIRST 9 MONTHS 2012PE DISBURSEMENTS (DISCLOSED) BY SECTOR, FIRST 9 MONTHS 2012

Thomson Reuters10

Deal Range # of Dollars Invested Deal Range # of Deals

Dollars Invested (Disclosed)

≥ $1 Billion 2 $2,200 Million (25%)

$500 Million - < $1 Billion 1 $500 Million (5%)

$100 Million - < $500 Million 22 $4,109 Million (46%)

$25 Million < $100 Million 28 $1 358 Million (15%)$25 Million - < $100 Million 28 $1,358 Million (15%)

< $25 Million 118 $761 Million (9%)

Deal Values Undisclosed 52 $0 (0%)

Total Deals With Disclosed Values: 171 (of 223)Total Deals With Disclosed Values: 171 (of 223)Total Invested: $8.928 BillionTotal Invested: $8.928 Billion

Upper MidUpper Mid‐‐Market & LargeMarket & Large‐‐Cap Deals Absorb 76% of ValuesCap Deals Absorb 76% of ValuesCANADIAN BUYOUTCANADIAN BUYOUT‐‐PE DEALS BY MARKET SEGMENT, FIRST 9 MONTHS 2012PE DEALS BY MARKET SEGMENT, FIRST 9 MONTHS 2012

NB: For a discussion of domestic market segments, please see Explanatory Notes #4 & 5 on pg. 26.


Total Deals: 223Total Deals: 223

26%24%

3%

2%

45%

Control-Stake Buyout Minority-Equity Investment Secondary Buyout

Rescue-Restructuring Other

ControlControl‐‐Stake & Minority Investments Account for Bulk of DealsStake & Minority Investments Account for Bulk of DealsCANADIAN BUYOUTCANADIAN BUYOUT‐‐PE DEAL VOLUME BY TRANSACTION TYPE, FIRST 9 MONTHS 2012PE DEAL VOLUME BY TRANSACTION TYPE, FIRST 9 MONTHS 2012

NB: For definitions of transaction types, please see Explanatory Note #8 on pg. 27.

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Total Deals in First Nine Months 2012: 223Total Deals in First Nine Months 2012: 223Total Deals in 2011: 283Total Deals in 2011: 283

15%

1% 2%

17%

16%36%

15%

29%

5%

25%

5%

33%

British Columbia Alberta Manitoba-SaskatchewanOntario Québec Northern CanadaAtlantic Canada

Over 60% of Transactions in Over 60% of Transactions in Québec,Québec, Ontario Ontario CANADIAN CANADIAN BUYOUTBUYOUT‐‐PE DEAL ACTIVITY BY REGION, 2011 & FIRST 9 MONTHS 2012PE DEAL ACTIVITY BY REGION, 2011 & FIRST 9 MONTHS 2012

Thomson Reuters13

Total Invested in 2011: $11.3 BillionTotal Invested in 2011: $11.3 Billion Total Invested in First Nine Months 2012: $8.9 BillionTotal Invested in First Nine Months 2012: $8.9 Billion

7%

2%

16%12%

1% 2%

23%

48%20%

9%

11%1%

48%

British Columbia Alberta Manitoba-SaskatchewanOntario Québec Northern CanadaAtlantic Canada

Over 70% of Dollar Flows in Québec, AlbertaOver 70% of Dollar Flows in Québec, AlbertaCANADIAN CANADIAN BUYOUTBUYOUT‐‐PE DISBURSEMENTS BY REGION, 2011 & FIRST 9 MONTHS 2012PE DISBURSEMENTS BY REGION, 2011 & FIRST 9 MONTHS 2012

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$600

$400

$500

of $CAD

$200

$300

$

lues

: Bill

ions

$100

$200

Dea

l Va

$0

2007 2008 2009 2010 2011 2012 Annualized

Canada X 10 United States

CanadaCanada‐‐US BuyoutUS Buyout‐‐PE Market Trends in SyncPE Market Trends in SyncBUYOUTBUYOUT‐‐PE DISBURSEMENTS (DISCLOSED)PE DISBURSEMENTS (DISCLOSED) IN CANADA & UNITED STATES, 2007 IN CANADA & UNITED STATES, 2007 –– FIRST 9 MONTHS 2012FIRST 9 MONTHS 2012

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Company Prov. Value Investors($ MM)

Garda World Security Corp. QC $1,100 Apax Partners, Other Investors

Arctic Glacier, Inc. MB $435.8 HIG Capital

Innergex Renewable Energy, Inc.

QC $123.7 Caisse de dépôt et placement du Québec

QuickPlay Media, Inc. ON $101.9 Madison Dearborn Partners

Rampart Oil & Gas Ltd AB $80 0 SFC Energy PartnersRampart Oil & Gas, Ltd. AB $80.0 SFC Energy Partners

20-20 Technologies, Inc. QC $75.4 Vector Capital

Top Canadian BuyoutTop Canadian Buyout‐‐PE Deals (Disclosed) in Q3 2012PE Deals (Disclosed) in Q3 2012CAD$ MILLIONSCAD$ MILLIONS

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2 C di F d A ti it i Gl b l B t & P i t 2 C di F d A ti it i Gl b l B t & P i t 2. Canadian Fund Activity in Global Buyout & Private 2. Canadian Fund Activity in Global Buyout & Private Equity Markets in Q3 2012Equity Markets in Q3 2012

70$80.0

$67.5

55

44

53 53 54

50

60

$60.0

$70.0

of $CAD

$33.0$32.2

22

30

40

$30 0

$40.0

$50.0

ues

: Bill

ions

o

# o

f D

eals

$16.4 $18.0$21.1

22

10

20

$10.0

$20.0

$30.0

Dea

l Val

0$0.02007 2008 2009 2010 2011 First 9

Months 2012Total Deal Values # of Deals

CanadianCanadian DealDeal‐‐Making Abroad Nears PostMaking Abroad Nears Post‐‐Slowdown PeakSlowdown PeakGLOBAL GLOBAL BUYOUTBUYOUT‐‐PE DEALS (DISCLOSED) INVOLVING CANADIAN FUNDS, 2007 PE DEALS (DISCLOSED) INVOLVING CANADIAN FUNDS, 2007 –– FIRST 9 MONTHS 2012FIRST 9 MONTHS 2012

NB: For a discussion of Canadian activity in global deals, please see Explanatory Note #9 on pg. 27.

Thomson Reuters

( ) ,( ) ,

18

$15,473

30$18,000

$15,473

18

22

20

25

$12,000

$14,000

$16,000

of $CAD

$9,520

$7,68714

10

1817 17

1515

$8,000

$10,000

$ ,

ues

: M

illio

ns

o

# o

f D

eals

$3,522

$5,849

$3,014 $2,563

10

8

5

10

$2 000

$4,000

$6,000

Dea

l Val

u #

$894

0$0

$2,000

Q4'10 Q1'11 Q2'11 Q3'11 Q4'11 Q1'12 Q2'12 Q3'12


Canadian Funds Active in Multiple Global LargeCanadian Funds Active in Multiple Global Large‐‐Caps in Q3 Caps in Q3 GLOBALGLOBAL BUYOUTBUYOUT‐‐PE DEALS & DISBURSEMENTS (DISCLOSED) INVOLVING CANADIAN FUNDS, Q4 2010 PE DEALS & DISBURSEMENTS (DISCLOSED) INVOLVING CANADIAN FUNDS, Q4 2010 –– Q3 2012Q3 2012


Thomson Reuters19

Total Deals: 54Total Deals: 54Total Invested: $21.1 BillionTotal Invested: $21.1 Billion

5% 2%

15%

2%

26%26%

67%57%

Europe United States South America Asia

Canadian Funds Most Active in United States, EuropeCanadian Funds Most Active in United States, EuropeGLOBALGLOBAL BUYOUTBUYOUT‐‐PE DEAL ACTIVITY INVOLVING CANADIAN FUNDS PE DEAL ACTIVITY INVOLVING CANADIAN FUNDS BY BY REGION, FIRST 9 MONTHS 2012REGION, FIRST 9 MONTHS 2012


Thomson Reuters20

3 C di3 C di B d B t & P i t E itB d B t & P i t E it B k dB k d3. Canadian3. Canadian--Based Buyout & Private EquityBased Buyout & Private Equity--BackedBackedExit Activity in Q3 2012Exit Activity in Q3 2012

7580

54

5

63 63

60

70

of Exi

t Eve

nts

4035

30

40

50

#

10

20

02007 2008 2009 2010 2011 First Nine

Months 2012

Other Exit IPO/Other Public Buyback Financial Sale Strategic Sale

Strategic & Financial Acquisitions Drive Exit TrendsStrategic & Financial Acquisitions Drive Exit TrendsBUYOUTBUYOUT‐‐PEPE‐‐BACKED EXIT INVOLVING CANADIAN BUSINESSES, BY TYPE, 2007BACKED EXIT INVOLVING CANADIAN BUSINESSES, BY TYPE, 2007‐‐ FIRST 9 MONTHS 2012FIRST 9 MONTHS 2012

NB: For clarification of Canadian exit activity data, please see Explanatory Note #10 on pg. 27.

Thomson Reuters22

Company Prov Value InvestorsCompany Prov. Value($ MM)

Investors

Viterra, Inc. SK $6,100 Alberta Investment Management Corp.

Progress Energy Resources Corp.

AB $5,500 CPPIB Private Investments

Maple Leaf Sports and Entertainment Ltd

ON $1,320 Teachers’ Private CapitalEntertainment, Ltd.

Q9 Networks, Inc. ON $1,100 ABRY Partners

Ocean Nutrition Canada Inc NS $540 Richardson CapitalOcean Nutrition Canada, Inc. NS $540 Richardson Capital

Gemcom Software International, Inc.

BC $356 JMI Equity, The Carlyle Group, Pala Investments AG

Top Canadian Exits Via Financial & Strategic Sales, YTD 2012Top Canadian Exits Via Financial & Strategic Sales, YTD 2012CAD$ MILLIONSCAD$ MILLIONS

Thomson Reuters23

4 C di B t & P i t E it F d4 C di B t & P i t E it F d R i i R i i 4. Canadian Buyout & Private Equity Fund4. Canadian Buyout & Private Equity Fund--Raising Raising Activity in Q3 2012Activity in Q3 2012

$7 0

of $CAD

$5.6

$6.4 $6.3

$6.0

$7.0

ised

: Bill

ions

o

$3.6 $3.7

$3.3

$4.0

$5.0

Funds

Rai

$2.0

$3.0

$0.0

$1.0

2007 2008 2009 2010 2011 First Nine

Canadian Fund Formations Bring $3.3 Billion into the MarketCanadian Fund Formations Bring $3.3 Billion into the MarketCOMMITMENTS TO CANADIAN BUCOMMITMENTS TO CANADIAN BUYOUT, MEZZANINEYOUT, MEZZANINE & OTHER & OTHER PE FUNDS, 2007 PE FUNDS, 2007 –– FIRST 9 MONTHSFIRST 9 MONTHS 20122012

Months 2012


1) Data collected and analyzed by Thomson Reuters for this statistical report were drawn from a variety of sources. These include proprietary sources among the members of Canada’s Venture Capital and Private Equity Association (CVCA), Réseau du capital d’investissement du Québec and other Canadian and non-resident fund managers responding to Thomson Reuters’ annual andd investissement du Québec, and other Canadian and non-resident fund managers, responding to Thomson Reuters annual and quarterly surveys.

2) The data methodology for this report was developed by Thomson Reuters and is comparable to other methodologies used to track trends in comparable national and regional buyout and private equity (PE)markets. CVCA and Réseau members have provided invaluable advice to Thomson Reuters concerning characteristics and issues particular to the Canadian fund management industry and market.

3) All dollar values in this report are represented in Canadian currency unless otherwise specified.

4) Key statistical indicators (e.g., total numbers of deals, total disbursements, per quarter or per annum) are influenced by the fact that a substantial fraction of buyout and other PE deals are not fully disclosed. For instance, “dollars invested” in a given period pertain only to those deals with values that have been published or confidentially disclosed to Thomson Reuters. Due to strict confidentiality covenants with fund managers Thomson Reuters has been able to expand the quantity and quality of data that areconfidentiality covenants with fund managers, Thomson Reuters has been able to expand the quantity and quality of data that are disclosed for reporting purposes. This is evidenced in comparisons of North American deal information housed in Thomson One –e.g., in 2010, 69% of buyout-PE deals done in Canada reflected disclosed values, while the share for comparable deals done in the United States was 33%.

5) For the purposes of this report, Canadian deals with disclosed values are discussed according to their organization in broadsegments, including large-cap-deals (above $500 million), and various levels of mid-market activity (below $500 million), etc.g , g g p ( ), y ( ),

6) Statistical data reflect all essential forms of buyout-PE deal-making, including control-stake acquisitions of businesses, minority equity investments, restructuring and special-situations transactions, and mezzanine and other quasi-equity investments. The data also reflect the activity of PE funds focused on businesses in specific sectors (e.g., infrastructure, mining, oil and gas, etc.).

7) The data highlight the continuous domestic deal activity of key Canadian fund types, including private-independent funds, t d i tit ti l ti f d d t il f d Th ti it f f i i t i C d i l t d

Explanatory NotesExplanatory Notes

corporate and institutional captive funds, and retail funds. The activity of foreign investors in Canada is also captured.

Thomson Reuters26

8) Definitions of transaction types shown in chart on page 11

•Control-stake acquisitions: Majority-interest acquisitions (or buyouts) of businessesControl-stake acquisitions: Majority-interest acquisitions (or buyouts) of businesses.•Publics-to-privates: Control-stake acquisitions in which businesses move from public to private ownership.•Secondary buyouts: Control-stake acquisitions in which ownership is transferred from one investor to another.•Minority equity investments: A diverse range of growth-equity and other non-controlling (or minority-interest) investments in businesses.•Rescues-restructurings: Control-stake acquisitions and other activity involving businesses in financial distress or undergoing

major reorganization.•Acquisitions for expansion: Merger and acquisition events driven by buyout-PE-backed businesses in expansion mode.•Other: Various other PE deal types and deals for which definitional information is currently insufficient.

9) The data also highlight the deal-making of Canadian funds in the United States, Europe, Asia, and elsewhere around the world.Statistics in this report reflect instances in which Canadian funds have acted as sponsors, co-sponsors or co-investors in deals in non-resident businesses, or have otherwise engaged in direct investments in these. “Dollars invested” in a given period pertain to the total value of disclosed deals in which Canadian funds have participated (in the case of large cap deals typically with foreign partners) andvalue of disclosed deals in which Canadian funds have participated (in the case of large-cap deals, typically with foreign partners) and not the specific Canadian financial contributions to these deals.

10) Statistical data pertaining to buyout-PE-backed exit events capture activity involving businesses based in Canada. They do not include exits from non-resident businesses in Canadian fund portfolios.

11) Over time, statistics are subject to continuous change as Thomson Reuters receives new data and as investors and their portfolio ) , j g pcompanies elect to disclose further details about transactions. In addition, key indicators might change appreciably in the short term due to the circumstance of pending deals. Thomson Reuters locates pending deals in the periods in which they are announced, with related data adjusted at the time of deal closings.

Explanatory NotesExplanatory Notes

Thomson Reuters27

Thomson Reuters

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