The Caisse de dépôt et placement du Québec is entering into a financing agreement with Metro Supply Chain Group Inc., an Ontario-based third-party logistics services provider.
While the pension fund didn’t disclose the terms of the financing, a press released noted Metro intends to use the capital to pursue further growth, particularly in business acquisitions. The company recently acquired logistics company National Fulfillment Services Inc. and launched an in-house, last-mile delivery solution for manufacturers and retailers of large goods, such as appliances.
“La Caisse wants to participate in digitizing industries and companies, and the logistics sector is a big part of where this is happening,” said Christian Dubé, executive vice-president for Quebec at the Caisse, in the release. “We are pleased to support Metro’s future growth, especially given the crucial role that it plays in modernizing traditional supply chains and distribution networks, along with effectively addressing the needs of the growing e-commerce sector.”
Metro’s roots are in Quebec, where it started out as a warehousing solutions provider. While it now has operations in Europe and across North America, it remains a Canadian-owned company and serves the packaged goods, retail, automotive, fashion and e-commerce sectors.
“Metro has always been focused on growing in directions that add value to our offerings and keep our customers competitive in a changing world,” said Chiko Nanji, chief executive officer of Metro. “This arrangement provides available capital in support of that objective. Having the right financial partners to support our growth is critical and CDPQ is regarded as a high-calibre global investor.”