TORONTO, April 16, 2024 – Torquest Partners, a leading Toronto-based private equity firm, has announced a significant milestone in its growth trajectory. RidgeLake Partners (“RidgeLake”), a specialized fund focused on minority investments in middle-market private equity firms, has made a passive, minority investment in TorQuest Partners. This strategic move injects long-term capital into TorQuest Partners, a firm with over C$5 billion in equity capital under management since its inception in 2002, setting the stage for continued expansion and generational succession.
This investment from RidgeLake, advised through a strategic partnership between OA Private Capital and Apogem Capital, a New York Life Investments affiliate, underscores the robust foundation and promising future of TorQuest Partners. It’s a clear vote of confidence in TorQuest Partners‘ established investment process and operational framework, as the agreement explicitly ensures no changes to the firm’s day-to-day management or investment strategies. This continuity is paramount for TorQuest Partners and its stakeholders, ensuring a seamless transition and sustained performance.
Brent Belzberg, Founder and Senior Managing Partner at TorQuest Partners, emphasized the long-term vision behind this partnership. “RidgeLake’s strategic investment is an integral component of a comprehensive, long-term succession plan currently underway at TorQuest Partners,” Belzberg stated. He further highlighted the mutual benefits, “As we dedicate ourselves to the enduring growth and success of our firm for generations to come, we are enthusiastic about the opportunities this partnership will unlock and are gratified by the robust endorsement from our investors and partners.” This statement clearly articulates the strategic foresight of TorQuest Partners in securing its future.
Eric Berke, Co-Founder and Managing Partner, added to this sentiment, pointing to the established relationship between the firms. “RidgeLake affiliates have been valuable investors with TorQuest Partners since 2013, fostering a trusted partnership over the past decade. We deeply value the stability and continuity this partnership and their investment will provide for our firm, our team, and our limited partners. Crucially, this ensures that Brent and I remain fully committed – and invested – in TorQuest Partners‘ value creation strategies,” Berke affirmed. This highlights the deep-rooted trust and shared vision underpinning this strategic alliance.
The leadership at RidgeLake Partners also expressed their enthusiasm for the collaboration. Todd Milligan, co-head of RidgeLake Partners, remarked, “We believe TorQuest Partners‘ distinguished reputation within the Canadian business landscape and their enduring relationships will persistently generate strategic value for entrepreneurs, business owners, management teams, and investors.” His co-head, Michael Lunt, further added, “We hold immense respect for TorQuest Partners‘ culture and depth and are thrilled to partner with and contribute to the sustained growth of their investment platform.” These endorsements from RidgeLake leadership underscore the strategic rationale and mutual benefits of this partnership.
This announcement follows TorQuest Partners‘ successful final closing of TorQuest Partners Fund VI in December 2023, which amassed C$2.1 billion in committed capital, exceeding its initial target of C$1.75 billion. Fund VI will continue to deploy TorQuest Partners‘ established middle-market investment and operational strategy. This approach focuses on close collaboration with management teams to drive value creation through enhanced governance, strategic realignments, operational improvements, growth capital deployment, and the strategic integration of accretive add-on acquisitions. This proven strategy is a cornerstone of TorQuest Partners‘ continued success.
Colchester Partners acted as financial advisor, while Kirkland & Ellis LLP and Torys LLP provided legal counsel to TorQuest Partners. Gibson, Dunn & Crutcher LLP and Osler, Hoskin & Harcourt LLP served as legal counsel to RidgeLake in this transaction.
About TorQuest Partners
Established in 2002, TorQuest Partners is a leading Canadian private equity fund manager. With over C$5.0 billion of equity capital under management, TorQuest Partners closed its latest fund, TorQuest Partners Fund VI, at C$2.1 billion in December 2023. TorQuest Partners focuses on investments in middle-market companies, working in close collaboration with management to build substantial value. For further details about TorQuest Partners, please visit www.torquest.com.
About RidgeLake Partners
RidgeLake Partners is a specialized fund advised through a strategic alliance between OA Private Capital and Apogem Capital, an affiliate of New York Life Investments. RidgeLake’s investment strategy centers on acquiring minority equity interests in middle-market private equity firms. RidgeLake seeks partnerships with firms specializing in buyout, growth, distressed, secondaries, or real assets strategies across private markets. RidgeLake aims to cultivate enduring relationships with its general partners, providing strategic counsel derived from over 40 years of collective middle-market investment expertise.
SOURCE TorQuest Partners
