Noverco to acquire Valener for C$1.2B

Lead Office

Montréal

Value

1.20 Billion CAD

On March 27, 2019, Noverco Inc. announced that it has entered into a definitive agreement to acquire, through its wholly-owned subsidiary Noverco Acquisition, Inc., all of the issued and outstanding common shares and preferred shares of Valener for C$1.2 billion. The acquisition will be implemented by way of a statutory plan of arrangement under the Canada Business Corporations Act and is subject to customary closing conditions including approval by the Superior Court of Québec.

Noverco indirectly owns 71% of Énergir, L.P. which is the main distributer of natural gas in Québec and is involved in developing renewable, liquefied and compressed natural gas, solar and wind power and hydroelectricity. Énergir also operates in the state of Vermont. Valener holds the remaining 29% interest in Énergir.

Noverco is a holding company that offers power production, gas storage, and marketing services. Caisse de dépôt et placement du Québec, Fonds de solidarité FTQ, British Columbia Investment Management Corporation and Université du Québec Pension Plan, through TRENCAP L.P. own 61.1% of Noverco while Enbridge Inc. owns the remaining 38.9%. 

Valener is a TSX-listed company that acts as a public investment vehicle in Énergir, which allows Valener to offer its shareholders a diversified and regulated energy portfolio in Québec and Vermont. As a strategic partner to Énergir, Valener invests in Énergir's growth and wind power production.

McCarthy Tétrault LLP is advising Noverco with a team led by Patrick Boucher that includes Philippe Fortier, Jessica Rousseau, Mathieu Dubord, Marjolaine Hemond Hotte and Eve Tessier (Business), Fred Purkey and Angelo Discepola (Tax), Dominic Thérien (Competition/Antitrust), and François Giroux and Gabrielle Groulx-Maurer (Litigation).

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