The new fund will support the growth of Revau, accelerating their strategic expansion into the U.S. market
PRESS RELEASE
Novacap, a leading North American private equity firm, today announced that its Financial Services team has successfully closed its first continuation vehicle transaction, and the fourth for Novacap, in Revau.
The continuation vehicle is led by a consortium including funds managed by Northleaf Capital Partners, Export Development Canada (EDC) and Fonds de solidarité FTQ, and includes participation from several key institutional investors such as Manulife Investment Management. The transaction involved the continuation vehicle acquiring an interest in Revau from Novacap Financial Services, along with certain other shareholders. The transaction offered existing Novacap limited partners the option to receive liquidity or rollover while providing Revau with access to additional capital.
The transaction follows Revau’s recent U.S. acquisitions of Brazos Specialty Risk Insurance and Twenty Mile Insurance Services, two U.S.-based Managing General Agents (MGAs) specializing in trucking and construction-focused liability solutions. These acquisitions mark Revau’s strategic entry into the U.S. market, substantially broadening its footprint across North America and positioning it for future growth plans in the U.S.
“This continuation vehicle represents an important milestone for Novacap Financial Services, reflecting the value created at Revau to date and our commitment to support Revau in its future endeavours,” said Marcel Larochelle, Managing Partner at Novacap. “Our partnership with Revau’s strong management team has transformed the company into a Canadian leader. We look forward to continuing our collaboration as Revau executes its strategic vision to build a leader in the specialty insurance market in North America.”
Revau, a Canadian market-leading, tech-enabled MGA, has seen transformative growth since Novacap’s initial investment in October 2020. The company has significantly expanded from a regional player into Canada’s largest independent MGA, diversified across more than 30 products and programs, and has successfully executed nine strategic acquisitions.
Jean-François Raymond, President and CEO of Revau, added, “Novacap’s continued commitment and additional capital support through the continuation vehicle will help fuel our projects for the next phase, enabling us to leverage powerful data analytics and AI capabilities and further expand our specialized insurance offerings. With our recent U.S. acquisitions, we are now well positioned to capture significant opportunities in the much larger U.S. market, enhancing our ability to deliver tailored products and value-added service to brokers, carriers, and insureds across North America.”
UBS Investment Bank acted as exclusive advisor for the continuation vehicle. Davies Ward Phillips & Vineberg LLP, Willkie Farr & Gallagher LLP, and Fasken Martineau DuMoulin LLP acted as legal counsel.
For further information please contact:
Renata Kappaun
Senior advisor, Communications
rkappaun@novacap.ca
About Revau
Revau Advanced Underwriting Inc. is a leading Canadian Managing General Agent (MGA) specializing in property and casualty insurance. With a strong presence across Canada and an expanding footprint in the United States, Revau delivers tailored insurance solutions for specialized and niche risks through its national network of brokers. Headquartered in Quebec, with offices and teams located in Quebec, Ontario, the Maritimes, Manitoba, Alberta, British Columbia, Texas, and Florida, Revau combines deep industry expertise with a cutting-edge digital platform to simplify the commercial insurance process and deliver exceptional value to brokers and their clients.
For more information, please visit: www.revau.com/en/about-us
About Novacap
Novacap is a leading North American private equity investor and one of Canada’s most experienced private equity firms. Founded in 1981 to partner with visionary entrepreneurs, Novacap focuses on middle market and lower-middle market companies in four core sectors: Technologies, Digital Infrastructure, Industries and Financial Services. Novacap combines deep sector specific expertise and strategic and operational excellence to partner with entrepreneurs and management teams. Since its inception, the firm has made primary and add-on investments in more than 250 companies. With over C$11 billion in assets under management and a presence across offices in Montreal, Toronto, and New York, Novacap accelerates value creation through strategic growth initiatives and a strong focus on execution.
For more information, please visit: https://novacap.ca
Media Contacts
Novacap
Renata Kappaun
Senior advisor, Communications
rkappaun@novacap.ca
Revau
Marie-Philippe Lambert
Chief Marketing Officer
marie.philippe.lambert@revau.com