The Caisse de dépôt et placement du Québec is helping Cogeco Cable expand through a $50-million long-term loan.
The Caisse’s contribution is part of the $650-million private financing deal—announced earlier today by the company—to acquire PEER 1 Network Enterprises, an Internet infrastructure supplier that specializes in managed hosting and cloud services.
This acquisition of PEER 1 will enable Cogeco Cable to diversify its service offering and serve an additional 10,000 businesses worldwide.
“By participating in the financing of Cogeco Cable, the Caisse encourages the growth of this major player in the cable distribution industry by enabling it to expand its suite of network and hosting services,” said Marc Cormier, executive vice-president, fixed income, with the Caisse. “In addition to enhancing its presence in a booming sector, this acquisition will allow the Quebec company to scale up and increase the scope of its operations, particularly in global markets.”