This was helped along by exits, including the sale alongside Wind Point Partners of polyvinyl chloride maker Aurora Plastics and the sale alongside Stella Point Capital of payment tech provider First American Payment Systems. Teachers Private Capital is the PE arm of Canada's Ontario Teachers' Pension Plan. The equities groups portfolio investments have typically averaged a one-year net IRR of about 20 percent. About Ares Management Corporation Ares Management Corporation (NYSE: ARES) is a leading global alternative investment manager operating integrated groups across Credit, Private Equity, Real Estate and Strategic Initiatives. The company provides innovative solutions across a wide array of customer end markets in plastic and glass containers, closures, dispensers, tubes and flexibles. The information you requested is not available at this time, please check back again soon. The pension system was in the thick of last year's vigorous PE dealmaking, investing or committing about C$10 billion ($7.8 billion) globally, roughly 2x its outlay in 2020 and 2019. To order Jo Taylor, chief executive officer of Ontario Teachers' Pension Plan, Toronto, has plans for the C$242 billion ($189 billion) fund to buy more controlling stakes in businesses directly, so. Ontario Teachers, for example, acquired a majority of Acorn Healthcare, a US autism treatment provider, while on the other side of the world, it was a minority investor in VerSe Innovation, Indias biggest local language tech platform. Ares Management Corporation's Private Equity Group & Ontario Teachers' Pension Plan Board to acquire a majority interest in TricorBraun. Toronto Star articles, please go to: www.TorontoStarReprints.com, Conversations are opinions of our readers and are subject to the, Are Canadas largest pensions putting your retirement at risk? If we dont start thinking about those tools that may not, per se, transform an industry but may be key to long-term competitive advantages, we will eventually be left behind.. It allows us to say, We really like this business or we really like the dynamic in this sector., I tell my team, If you really like the opportunity, find the trade, find the capital or design the kind of capital that goes into that company.. The long term nature of our mission enables us to invest for a spectrum of duration, including over the long term where others can't. "If you don't deliver that, we don't do the next fund," said Mr. Taylor, a former executive at London-listed private equity firm 3i Group. They might soon also be located in a new Ontario Teachers office in India. Our globally diversified asset groups invest in over 50 countries around the world. "We have come out with very clear climate reduction targets," he said. Ontario Teachers recognizes the deal environment has changed significantly because of inflationary pressures, rate hikes, Russias invasion of Ukraine and other factors, Frank said. Pension funds have been upping pressure on asset managers to apply more ESG awareness when investing their money, keen to show theyre not just paying lip service to issues like climate change and social mobility. The trend toward more direct and control deals by large pension and sovereign investors has picked up in recent years. Notable deals in Europe included acquiring a majority holding in plastic packaging producerLogoplasteand 30 per cent of insurance brokerSiaci Saint Honore. The pension is expected to step into the the roles filled by private equity firm Birch Hill over the past nine years . Click TricorBraun Jennifer Frighetto847-702-5304jfrighetto@tricorbraun.com, Ares Management Corporation Brunswick GroupAlex Yankus, 212-333-3810Ares@brunswickgroup.comOrAres Management CorporationCarl Drake, 800-340-6597cdrake@aresmgmt.com, Ontario Teachers Pension Plan BoardDan Madge416-730-6451media@otpp.com. Weve been cautious. , Bloomberg. By going direct, instead of via a fund managed by a buyout firm, Taylor said OTPP is also able to save on the significant fees that exist in an industry known for rewarding itself generously. They included the acquisition of software provider Mitratech for $1.5 billion and the acquisition alongside PAI Partners of eye-care clinic network Veonet, reportedly for $2.3 billion. Please check your spam or junk folder just in case APHG is New Zealands largest human and veterinary pathology network. At Ontario Teachers' we invest to deliver outstanding service and retirement security for our members while leaving a lasting, positive impact on the world. On the one hand, its funded ratio has decreased to 95 per cent, down from 97 per cent a year earlier, after it increased pension payments of its retired members by six per cent to reflect the higher cost of living. Teachers' Private Capital considers both private equity and venture related investments in North America, Europe, and Asia. Royal Bank of Canada reported a first-quarter profit of $3.21 billion, down from $4.10 billion a year earlier as its provisions for credit losses increased. Subscribe to our Newsletter to increase your edge. By signing up for our newsletter, you accept our terms and conditions as outlined underpe-insights.com/privacy-policy. The Ontario Teachers Pension Plan investments returned 11.1 per cent in 2021, with its result driven by the strong performance of its private equity portfolio. We look. The pension system was in the thick of last year's vigorous PE dealmaking, investing or committing about $7.8bn globally, roughly 2x its outlay in 2020 and 2019. Today, AEAs approximately 90 investment professionals operate globally with offices in New York, Connecticut, London, Munich and Shanghai. The British Columbia governments new budget will spend more as the economy shrinks. I do wonder sometimes whether its necessary.. Get access to the news, research and analysis of events affecting the retirement and institutional money management businesses from a worldwide network of reporters and editors. Posted 5:35:34 PM. "I think it's always slightly egocentric," he said. Ontario Teachers' Pension Plan said equity gains helped offset fixed income and currency losses in the first half of the year, giving the Toronto-based retirement fund manager a 3.8% return for . Ontario Teachers acquires majority of Nvision Eye Centers, Investor Relations, Marketing & Communications Forum. All rights reserved. The economy and markets are "under surveillance". The union representing 750 mining workers at Mosaic Potash Esterhazy Ltd. in Esterhazy, Sask. The organization was established in 1989 and is . Ontario Teachers long-term horizon is another differentiator that facilitates, among other things, value creation. JavaScript seems to be disabled in your browser. All rights reserved. Click here. We use our agile team, deep sector expertise and global network to help our portfolio companies grow. OTPP has put these topics high on the agenda when dealing directly with companies, according to Taylor. Gavin Graham's Top Picks: February 28, 2023, David Burrows' Top Picks: February 27, 2023, Eric Nuttall's Top Picks: February 24, 2023. If OTPP follows through on the pledge to bypass private equity funds on more deals, it will add another competitive force to the likes of Blackstone, KKR & Co. and Apollo Global Management in the hunt for takeover targets in private and potentially public markets. The private capital team has long specialized in six sectors: consumer, diversified industrials and business services, financial services, healthcare, sustainability and energy transition, and tech, media and telecom. We have had a tremendously successful partnership with AEA, culminating with record sales in 2020, and we look forward to working with Ares and Ontario Teachers to deliver even greater value to our customers and suppliers over the coming years.. Senior team members include Romeo Leemrijse and Bogdan Cenanovic, global group sector heads; Harj Shoan, global head of funds; Jean-Charles Douin, head of private capital EMEA; Raju Ruparelia, head of private capital APAC; and Maggie Fanari, head of high-conviction equities. Fengate Private Equity, a division of Fengate Asset Management, recently announced a strategic minority equity investment in GraceMed, a recognized. Base is in 80-85k range. It holds a diverse global portfolio of assets, approximately 80% of which is managed in-house, and has earned an annual total-fund net return of 9.5% since the plan's founding in 1990. Ares and Ontario Teachers will acquire a majority interest in the Company. TricorBrauns management team, including Executive Chairman Keith Strope and President and CEO Court Carruthers, will continue to lead the Company following the close of the transaction. We hold a diverse global portfolio of assets, approximately 80% of which is managed in-house. Its an extraordinarily difficult year for any investor So, on balance, we are pleased with the outcome, OMERS CEO Blake Hutcheson told the Star. Republication or distribution of this content is Singapores state-owned investor Temasek Holdings Pte bought testing company Element Materials from buyout firm Bridgepoint Group Plc for US$7 billion earlier this year, while Brookfield Asset Management Inc. this week agreed toacquireemergency household repairs provider HomeServe Plc for 4.1 billion (US$5 billion). 09:01. Contact Information Fund Manager Ontario Teachers' Pension Plan Fund Manager Website www.otpp.com While historically happy to invest for small stakes with private equity firms, also known as GPs, these funds have built up internal buyout deal expertise. Sometimes the value creation playbook is going to take longer to execute, Frank said. This transaction is Blackstone's second investment as part of its core private equity strategy, which is specifically designed to hold private equity investments in exceptionally high-quality companies for longer periods of time than traditional private equity funds. "One of the advantages of being in a control position is that you can actually have a consistent view of how we interact with the businesses," he said. We believe that TricorBrauns deep expertise, entrepreneurial approach, strong track record, and exceptional culture differentiate the company from its peers, said Brian Klos, Partner, Ares Private Equity Group. By the end of the year, however, its real estate, infrastructure and private equity investments boosted the fund to a net gain. Main Office Read More Private Capital Private Capital We have one of the largest and most sophisticated pools of private equity capital in the world. Get Ahead! A specialization in sustainability and energy transition is a rebrand of the former energy and power. Claim your Free Employer Profile Website: www.otpp.com Headquarters: North York, Canada Size: 1001 to 5000 Employees Founded: 1990 Type: Company - Private Industry: Investment & Asset Management Revenue: $10+ billion (USD) Competitors: CPP Investments, OMERS, Caisse de dpt et placement du Qubec Alberta is predicting a $2.4-billion budget surplus for its petro-powered economy this year, with plans to take a big bite out of its debt and put up guardrails to prevent eye-popping deficits when oil booms go bust. Thrilled to announce our latest investment partnership with GraceMed, a leader in Canada's cosmetic surgery and medical spa industries. AEA Private Equity invests across three sectors: value added industrials, consumer and services. Founder Marg Randles and Group CEO Simon Irons share how Busy Bees' partnership with Ontario Teachers' helped their company grow from 230 nurseries in the UK to 910 across 10 countries, including Singapore, Australia and Canada. The equities group, led by Frank since 2020, oversaw C$70 billion of assets at the end of December, 80 percent of which were direct interests managed internally. The company currently operates 664 centres across nine countries with 16,000 staff providing quality care for 63,000 children. Dont miss our weekly curated news and insights, By signing up for our newsletter, you accept our terms and conditions as outlined under. You should only be asked to sign in once. To be sure, pension funds still see private equity firms as key to hitting their alternative investment allocations. In just three months, Jennifer Krahns life completely changed. Ontario Teachers' Pension Plan has acquired a majority stake in Nvision Eye Centers, an Aliso Viejo, California-based provider of comprehensive eye care services. Inflation itself has been a mixed blessing for OMERS. articles a month for anyone to read, even non-subscribers! Millan Mulraine sits down with our Multicultural ERG to discuss Black History Month, workplace progress and why he chose Ontario Teachers'. We dont pound our chest. For the best experience on our site, be sure to turn on Javascript in your browser. At the halfway point of 2022, OMERS actually posted a loss of $500 million amidst a rout of financial markets following the start of the war in Ukraine and central banks beginning to tackle runaway inflation with a string of interest-rate hikes. March 14, 2022. Ares Managements investment groups collaborate to deliver innovative investment solutions and consistent, attractive investment returns for fund investors throughout market cycles. To consistently deliver news, research and analysis to the executives who manage the flow of funds in the institutional investment market. Diversifying away from stocks and bonds and investing significant capital in alternative assets has become a hallmark of Canadas big pension funds (though some critics say such assets can be more difficult to value and valuations are not conducted as often as investments that trade on public markets). Dont worry about the news anymore, through our newsletter youll receive weekly access to what is happening. New York, NY 10017-4036, Chicago Office This has driven fresh initiatives, among them a commitment to TPG Rise Climate Fund, closed this year at $7.3 billion. OTPP's top executives say returns for 2022 may struggle to hit last year's levels in a more challenging economic environment of rising inflation, rates and market sell-offs. The transaction is expected to close in the first quarter of 2021 and is subject to customary closing conditions and regulatory approvals. If OTPP follows through on the pledge to bypass private equity funds on more deals, it will add another competitive force to the likes of Blackstone Inc., KKR & Co. and Apollo Global Management Inc. in the hunt for takeover targets in private and potentially public markets. Private equity presently accounts for about one-quarter of all assets. A few WSO users shared their knowledge of the group: From WSO user @optimus_prime". The fund targets the business products and services (B2B) sector. Other services include global sourcing, manufacturing oversight and global supply chain programs. For more information, visit otpp.com and follow us on Twitter @OtppInfo. GlobalCapital, is part of the Delinian Group, Delinian Limited, 8 Bouverie Street, London, EC4Y 8AX, Registered in England & Wales, Company number 00954730, Covered bond spreads poised to tighten as supply cools, Ruschpler leaves ADB funding team for internal move, Belgium cuts stake in BNP Paribas but keeps seat on board, Santander hops into lively Kangaroo market after NAB tier two, Credit Suisse loses two more from credit sales. National Bank of Canada reported a first-quarter profit of $881 million, down from $930 million in the first quarter of 2022, as its provisions for credit losses ticked up. The pension system was in the thick of last years vigorous PE dealmaking, investing or committing about $7.8bn globally, roughly 2x its outlay in 2020 and 2019. But OMERS private equity holdings increased by 13.7 per cent, its infrastructure investments gained 12.5 per cent and its real estate assets were up by 13.6 per cent. Whether youre looking for a stock package or a groundbreaking custom design, TricorBrauns proven process will guide your packaging decisions from napkin sketch all the way to the retail shelf. The Deadline To Apply For This Role IsFebruary 14, 2023Our CompanyOntario Teachers' is Canada'sSee this and similar jobs on LinkedIn. The company also invests the plan's pension fund. 130 E. Randolph St. The store will not work correctly in the case when cookies are disabled. The fund outperformed . Its surprisingly mostly legal, and some will argue they have found the benefits far outweigh the risk. presentation-ready copies of Toronto Star content for distribution "That's quite hard to do when you have 5% to 10% in somebody else's private equity deal.". The Ontario Teachers' Pension Plan investments returned 11.1 per cent in 2021, with its result driven by the strong performance of its private equity portfolio . rights reserved. The equities group is made up of private capital and high-conviction equities, which invests across the capital structure of listed businesses. Photographer: Cole Burston/Bloomberg All rights reserved. Teachers' Pension Plan, known widely as a top private equity investor, is perhaps underestimated in its foremost role as a buyer and seller of companies. That this is not better known, even ininformed market circles, is due to Ontario Teachers hesitation to talk about itself, Frank said. Pension funds assets under management rose to C$241.6 billion, Private equity assets rose 29%, while resources returned 28%. Ontario Municipal Employees Retirement System (OMERS) said Monday that it generated an investment return of 4.2 per cent in 2022, adding $4.9 billion in investment income to the plan, which had $124 billion in assets by the end of the year. 2023 Ontario Teachers Pension Plan. here to register, Not for publication, email or dissemination, PE-backed NSL taps Herderick as science and tech development VP, Flexpoint Ford-backed Clearstead buys wealth management firm Avalon Trust, Tennis champion/entrepreneur Venus Williams joins Topspin as operating partner, Ares backs BlueCove; Thoma Bravo closes Coupa deal; plus Black History Month interviews, Red Arts Chad Strader: Diversity is good for business; US PE firms vie for public European names, PE pioneer Thomas H. Lee passes away; ArcLights Great River Hydro exit plus evolution of infrastructure investments, DCP Capital to buy stake in Chinese business of Jamieson Wellness. Im super passionate about innovation, Frank said, investing in companies that undertake digitization or using digital capabilities to invest across a range of businesses., A priority, she added, will be digital disruption of traditional sectors in which Ontario Teachers is active, such as insurance. The trend toward more direct and control deals by large pension and sovereign investors has picked up in recent years. ST. LOUIS, January 7, 2021 Global packaging leader TricorBraun (the Company) announced today that it has entered into a definitive stock purchase agreement with funds managed by Ares Management Corporations (NYSE: ARES) Private Equity Group (Ares) and Ontario Teachers Pension Plan Board (Ontario Teachers). "I do wonder sometimes whether it's necessary.". Its private equity portfolio returned 29.9 per cent for the year, well above its 17.5 per cent benchmark. Found email listings include: h***@otpp.com. 2020 by Private Equity Insights. Teachers Pension Plan, known widely as a top private equity investor, is perhaps underestimated in its foremost role as a buyer and seller of companies. Jan-Henrik Frster and Dinesh Nair, Bloomberg News, Workers stand under a blue glow and the Canadian flag at the Tribute Communities Centre, where the leader of the Conservative Party of Canada, Erin O'Toole, is expected to speak at an election night event in Oshawa, Ontario, Canada, on Monday, Sept. 20, 2021. environmental, social and governance (ESG). Why? 2023 Ontario Teachers Pension Plan. "We love the U.K.," Mr. Taylor said, describing the market in the country as "probably the most predictable" market in Europe. About AEAAEA Investors LP was founded in 1968 by the Rockefeller, Mellon and Harriman family interests and S.G. Warburg & Co. as a private investment vehicle for a select group of industrial family offices with substantial assets. We dont have a traditional fund and the fund doesnt have a term, she said. 685 Third Avenue TORONTO, [Wednesday, September 22, 2021] /CNW/ - Ontario Teachers' Pension Plan Board ("Ontario Teachers'") announced today that it has entered into an agreement to acquire HomeQ Corporation ("HomeQ"), the parent company of HomeEquity Bank, from Birch Hill Equity Partners Management Inc. ("Birch Hill") and the other minority shareholders of HomeQ. Ontario Municipal Employees Retirement System (OMERS) said Monday that it generated an investment return of 4.2 per cent in 2022, adding $4.9 billion in investment income to the plan, which had. We love the UK, Taylor said, describing the market in the country as probably the most predictable market in Europe. TricorBraun To Be Acquired by Ares Management and Ontario Teachers' Pension Plan Board | TricorBraun The store will not work correctly in the case when cookies are disabled. Hutcheson said the funds real estate assets (which generate a stream of rental income and tend to steadily increase in value) are also a good hedge against inflation. "We come out with very clear diversity, equity and inclusion targets in terms of gender participation on boards and how generally governance works around the businesses that we invest in.". New and bigger buyout funds have come to market quicker than ever, with the cycle shortening from a typical three-year period to 18 months in some cases, according to Mr. Taylor. Teachers rode big gains in private equity and infrastructure to post an 11.1-per-cent return for 2021, topping its benchmark comparison portfolio by more than two percentage points. By: Staff. TO READ THE FULL STORY, SUBSCRIBE NOW NOW AT JUST RS 249 A MONTH. We believe that integratingenvironmental, social and governance (ESG) factors into our investment decisions and backing companies to act responsibly will create greater value for our members. In fact, it can be argued Ontario Teachers is today less of an LP than it is a very big GP. By going direct, instead of via a fund managed by a buyout firm, Mr. Taylor said OTPP is also able to save on the "significant" fees that exist in an industry known for rewarding itself generously. See all Private Equity salaries to learn how this stacks up in the market. Investment firms have for years enjoyed a very favorable environment, with ultra-low interest rates spurring institutional money to chase higher returns in private markets as valuations boomed. All The Ontario Teachers' Pension Plan Board is acquiring the parent company of HomeEquity Bank, best known for its reverse-mortgage business, from Birch Hill Equity Partners Management Inc. and other minority shareholders. Read: OPTrust posts 15.3% net return, driven by private equity investments, We delivered strong results for our members despite the challenges brought about by a second year of a global pandemic, said Jo Taylor, president and chief executive office at the Ontario Teachers, in the release. The pension plans allocations to natural resources and infrastructure also exceeded expectations, generating returns of 28.1 per cent and 7.9 per cent, respectively. A growing chorus of experts say they are, Caisse de dpt et placement du Qubec reports loss of 5.6 per cent in 2022, Ontario Teachers Pension Plan becomes second public pension to write off crypto bet, The Toronto Star and thestar.com, each property of Toronto Star We are focused on being the Best Place for the Best People in Packaging Our people are dedicated, experienced, empowered, and have an entrepreneurial spirit that results in the creation of packaging that makes a difference. To order copies of We try to be quite disciplined and ask, What is interesting, where is the best place not just for this year but for five years or even ten years?, Ontario Teachers, for example, targets opportunities in a few high- growth healthcare sub-sectors, such ophthalmology. But I am proud of our team and I am confident (in) our strategy.. If you do not yet have a Torstar account, you can create one now (it is free), Copyright owned or licensed by Toronto Star Newspapers Limited. How to Geta Free Flight to Hong Kong in 500,000 Airline Ticket Giveaway, Apple Suppliers Are Racing to Exit China, AirPods Maker Says, Microsoft Expands Game Pass as Regulators Fret Over Activision Deal, Cash Is Paying More Than Traditional Stock-Bond Portfolio, S&P 500 Wraps Up Turbulent Month Near Lows of Day: Markets Wrap. The Ontario Municipal Employees Retirement Systems assets grew by 4.2 per cent to $124.2 billion in 2022, according to its annual results. Founded in 1989, the Ontario Teachers' Pension Plan is an independent organization responsible for administering defined-benefit pensions for school teachers of the Canadian province of Ontario. Learn more now. We have come out with very clear climate reduction targets, he said. We provide the capital and support to help high-performing management teams and boards grow and become leading global franchises. When Frank arrived at Ontario Teachers two years ago from Barclays Private Bank, she thought this an enviable track record for any GP. This balance, she noted, will support Ontario Teachers objective to grow its assets to C$300 billion by 2030, from C$242 billion today. The content you are trying to view is exclusive to our subscribers. The Ontario Teachers total fund exceeded its benchmark of 8.8 per cent, according to a press release announcing its annual results. Serving customers since 1902, TricorBraun has grown to $1.5 billion in annual sales, with more than 1,100 team members in 50 locations throughout North America, Europe, and Asia. Teachers' Private Capital is the direct investment arm of the Ontario Teachers' Pension Plan. Ontario Teachers returns 11.1% for 2021, led by private equity investments. We use our agile team, deep sector expertise and global network to help our portfolio companies grow. The fund outperformed its benchmark by 2.3 percentage points, lifting assets under management to C$241.6 billion ($189.2 billion), the Toronto-based pension manager said Monday in a statement. This estimate is based upon 2 Ontario Teachers' Pension Plan Private Equity salary report(s) provided by employees or estimated based upon statistical methods. AEA has an extraordinary global network built over many years which includes leading industrial families, business executives and leaders; many of whom invest with AEA as active individual investors (Participants) and/or join its portfolio company boards or act in other advisory roles. Our private capital model is based on true partnership, We come out with very clear diversity, equity and inclusion targets in terms of gender participation on boards and how generally governance works around the businesses that we invest in.. Teachers' is an independent organization headquartered in Toronto. Don't have an account? TricorBrauns leadership team will also retain a significant investment in the company, as will its current majority owner, AEA Investors. "Hopefully there's enough return in our real assets and inflation hedge portfolio to compensate for potential losses elsewhere," said Chief Investment Officer Ziad Hindo. Through growth equity, structured equity, buyouts or co-investing with other top-tier partners, we focus on positions where we can play a larger role in building stronger companies. If you dont deliver that, we dont do the next fund, said Taylor, a former executive at London-listed private equity firm 3i Group Plc. Typical bonus, however, is only 30% of base and dependent on three factors with different weightings (firm performance, group performance and individual . The head of one of North America's biggest investors in private markets wants to cut its reliance on buyout firms and do more deal-making on his own. Ontario Teachers' Pension Plan, a Canadian fund that manages C$242.5 billion ($181 billion) of assets, has paused direct investing in private assets in China, according to people familiar. The pension fund (which has 559,000 active and retired members, including union and non-union workers at municipalities, school boards, transit systems, electrical systems and other employers) said its investments in bonds fell by 3.8 per cent last year and its public equity assets lost 11.9 per cent. He said he expects the private equity funds that OTPP does invest in to make returns and also offer the opportunity for co-investment. About TricorBraunFounded in 1902, TricorBraun is North Americas largest distributor of primary packaging and one of the largest purchasers of packaging in the world. Taylor said raising larger pools of capital at a faster rate and a higher cost of entry, while delivering attractive returns, will become harder because of rising interest rates and previous investment mistakes. (Podcast). Ontario Teachers' Pension Plan, known widely as a top private equity investor, is perhaps underestimated in its foremost role as a buyer and seller of companies. In large industries like consumer and healthcare, the goal is to dig into and explore niche opportunities. We deploy flexible capital in compelling private companies across a variety of strategies and time horizons. The Company has made significant investments in top talent and operations, and will seek to capitalize on those to drive long-term growth in the years ahead. We look forward to working with Court and TricorBrauns strong management team to drive the next phase of the Companys growth, both organically and through strategic acquisitions., TricorBraun is uniquely positioned to serve the requirements of the packaging industry, said Karen Frank, Senior Managing Director, Equities, at Ontario Teachers. permissions/licensing, please go to: www.TorontoStarReprints.com.