By Michael Loney

April 4 - (The Insurer) - Quebec-based Synex Business Performance has received a minority investment from institutional investors Caisse de dépôt et placement du Québec (CDPQ) and Ares Management Credit funds.

Synex was founded in 2020. It has more than 700 employees and generates more than C$1 billion ($700 million) in annual premium volume, half of it coming from Quebec.

The broker said that the investment by CDPQ and Ares will enable it to accelerate its growth through acquisitions, strengthen its footprint across Canada and penetrate new markets.

The company aims to double its size in the coming years.

“We believe the support of CDPQ and Ares sends a strong signal: our model and vision work and are seeking to redefine the future of independent brokerage,” said Yan Charbonneau, president and chief visionary officer of Synex.

Kim Thomassin, executive vice president and head of Quebec at CDPQ, said Synex’s “ambitious growth plan” is being supported through both equity and debt financing.

“We are proud to now stand alongside this Quebec-based player in its acquisition-driven expansion across Canada, together with Ares, a long-standing partner of CDPQ,” Thomassin said.

Synex is majority-owned and led by Quebec interests. It has grown to more than 20 brokerage firms specialising in commercial and personal property and casualty insurance, group insurance and financial services.

Other recent investments in Canadian brokers include Montreal-based private equity firm Novacap partnering with Consilium Insurance in late 2024 and Lee Equity Partners making a “significant growth investment” in Axis Insurance Managers in mid-2024.

In 2023, Ohio-based retailer BroadStreet Partners, supported by capital from its owner Ontario Teachers’ Pension Plan, invested in Canadian retailer Westland, with Blackstone Credit exiting its investment.