Trois-Rivières, QC – Groupe Somavrac Inc., a leading Quebec-based critical infrastructure company serving strategic industries throughout Quebec and across Canada, and a consortium led by Instar Asset Management Inc. and including Investissement Québec and the Fonds de solidarité FTQ, today announced a strategic partnership. This collaboration is intended to ensure continuity, stability and responsible management as the Company enters its next phase of development. Financial terms of the transaction were not disclosed.
Founded in Trois-Rivières by the Paquin family, Somavrac has grown steadily over the past six decades to become a key player in regional and national supply chains, particularly along the St. Lawrence waterway, while remaining closely connected to the communities where its employees live and work.
“Groupe Somavrac was built with a deep sense of responsibility to our employees, our partners and the communities we serve,” said Marc Paquin, President and Chief Executive Officer of Somavrac. “After careful consideration of the future of the company, we chose Instar as our trusted partner to build on our legacy, preserve our culture and support our teams. With the support of Instar and its Quebec co-investors, we will protect more than 500 jobs, maintain our 12 subsidiaries and strengthen our presence in Quebec, while taking the next step in our growth and continuing our strategic role in the Quebec economy.” »
Under Mr. Paquin’s leadership, Somavrac has developed deep expertise in operating highly regulated environments, facilitating trade, supporting industrial development and strengthening supply chains. The company serves the mining, agricultural, pulp and paper, aluminum smelters, cement plants, chemicals and water treatment sectors through a network of 17 specialized sites, dry and liquid bulk storage facilities, and value-added chemical distribution and transportation infrastructure.
Mr. Paquin will remain in his role as President and Chief Executive Officer during a transition period, during which he will work closely with Instar to ensure continuity and identify his successor.
A partner with common values and responsible management
Instar acquires the entire Somavrac Group, including its 12 subsidiaries, while maintaining the company’s head office in Trois-Rivières and the 500 current jobs in Quebec and Ontario. The partnership between Somavrac and Instar honours the Paquin family’s legacy by ensuring that the company remains rooted in Quebec, Canadian-owned and guided by a vision of long-term responsible management.
Instar is a Canadian private equity firm focused on creating long-term value through the responsible management of critical businesses. It is distinguished by its people-centric culture, its ownership mentality and its proven experience in supporting companies operating in the port, logistics and transportation-related sectors, in close alignment with the operational realities of Somavrac and the responsibilities related to the operation of critical infrastructure.
“Groupe Somavrac is a high-quality company with a strong culture that plays an essential role in the Quebec and Canadian economy,” said Daniel Perruzza, Partner at Instar. “Our goal is to support teams to build on the company’s strengths, seize new growth opportunities and bring to life our shared values: respect for people, operational excellence, environmental responsibility and a long-term vision.”
(Photos from Somavrac)