Preqin’s comprehensive Fund Manager Profiles shows that there are currently 191 private equity firms headquartered in Canada. The latest data from Preqin shows that collectively, these firms have raised almost $43bn in investor capital over the last 10 years, and have an estimated aggregate $11bn available in dry powder. A 59% majority of these 191 Canada-based firms incorporate venture capital transactions into their investment strategy, and 32% target buyout opportunities, either exclusively or as part of a broader investment strategy.
The top five private equity firms in Canada, based on the total funds raised in the last 10 years, are Onex Corporation, Brookfield Asset Management, ARC Financial Corp., Catalyst Capital Group and Birch Hill Equity Partners. These five private equity firms alone have raised $20bn over the period, accounting for 47% of the total capital raised by all 191 Canada-based private equity firms across the last 10 years. Collectively, these top five firms also have an estimated $4bn in dry powder.
Onex Corporation has raised $11bn in the last decade and has an estimated $1bn in dry powder at its disposal. The Toronto-based firm, which also has secondary offices in New York and London, raises funds exclusively via its two private equity investment platforms: Onex Partners and ONCAP. Onex Corporation participates in these fund families as the largest limited partner and through its ownership of the funds' general partners and managers. Both investment platforms seek opportunities in North American businesses, but flagship Onex Partners focuses on large-scale acquisitions, whereas ONCAP funds target medium-sized companies that have an enterprise value of up to $500mn.
The other four top Canada-based fund managers similarly have a predominantly North American geographic focus for their investment activity, with the exception of Brookfield Asset Management. Brookfield Asset Management considers investments all over the globe, particularly in the infrastructure, property and timber industries. The asset manager currently has a private equity vehicle in market targeting $750mn. Brookfield Timberlands Fund V focuses on acquiring high quality timberland assets, primarily in the US, Brazil and Australia, but will also target opportunities in Canada, Chile, New Zealand and Uruguay.