The world of Private Equity (PE) funds is massive and growing, with nearly 500 funds in Canada alone according to research by PitchBook. These figures do not account for the numerous foreign funds that count Canadian individuals, firms, and institutions among their investors. The scope of these investments is ushering in a new wave of fund formations, prompting the need for a deep-dive into the issues and complexities inherent in forming a PE fund.
With data from the Canadian Venture Capital & Private Equity Association highlighting that investments from Canadian PE funds totaled around C$3.6 billion across 316 deals in recent times, full details can be found here. This is the first piece in a multi-part series focusing on fund formations and investments, providing an essential framework of knowledge for any legal professional seeking to navigate the dynamic landscape of private equity.
For those with an interest in the formation of a PE fund, the forthcoming series will elucidate some of the critical issues to consider, with emphasis on those aspects lawyers and other professionals in the sector should particularly pay attention to.
No two PE funds are alike, and the process of formation can be intricate, necessitating legal expertise for careful navigation of the diverse financial, regulatory, and legal dimensions. Given the significant scale and importance of PE funds in both Canadian and global markets, this series will prove an invaluable guide for those operating in the field.
Stay tuned in for unparalleled insight and analysis from seasoned lawyers from the leading firm, Blake, Cassels & Graydon LLP. Look forward to engaging discussions around fund governance, terms, compliance, fee structure and more in the subsequent parts of this crucial series.