1. Methodology and scope

Companion Commonwealth sibling: Australia and Canada share institutional pension co-investment dynamics. See the 2026 Australia LMM PE Buyer Landscape for the 30+ sponsor map.

This tracker covers Canadian lower middle market private equity activity from January 1, 2024 through June 18, 2026, with selective references to anchor transactions from 2022 and 2023 where they remain definitional for current underwriting. The lower middle market definition adopted is CAD 25 million to CAD 250 million enterprise value, which captures the deal band where Fulcrum Capital Partners (CAD 10 to 35 million equity cheques into companies up to CAD 250 million revenue), Tricor Pacific Capital (CAD 25 to 250 million EV), Clearspring Capital Partners (CAD 20 to 50 million equity cheques), and Walter Capital Partners (mid-sized Canadian companies, 17-company portfolio) operate without facing direct competition from international mega-funds or Maple 8 direct programmes.

Above CAD 250 million enterprise value the market shifts to mid-market sponsors (TorQuest, Birch Hill, Altas, ONEX, Sagard, Novacap) and above CAD 1 billion enterprise value to the mega-cap roster (CPP Investments, La Caisse, Brookfield, Onex, OTPP, PSP, KKR, Bain, Advent, TPG, Apollo, Blackstone). The tracker addresses all four bands because Canadian sponsors regularly compete across band boundaries and because exit pathways for lower middle market platforms typically run through the larger sponsor cohort or, with growing frequency, through cross-border US strategic buyers.

Confidence ratings (HIGH, MEDIUM, LOW, GAP) are applied at the cell level rather than at the sponsor level. HIGH indicates a primary-source confirmation (press release, fund close announcement, regulatory filing, sponsor portfolio page). MEDIUM indicates strong secondary-source coverage with at least two corroborating outlets. LOW indicates a single secondary source or commentary without document confirmation. GAP indicates an item flagged for verification before client use. Every numeric or dated claim carries an inline link to a primary or secondary source. The tracker is intended for CT Acquisitions internal use and for clients evaluating Canadian sell-side processes.

The research base draws on the Canadian Venture Capital and Private Equity Association (CVCA) Year-End 2024 and Year-End 2025 reports, the CVCA H1 2025 PE Market Overview, primary Maple 8 fiscal results disclosures, Canada Department of Finance and Canada Revenue Agency releases on the 2024 to 2025 capital gains policy reversal, federal Budget 2025 documents on the Canadian Entrepreneurs’ Incentive cancellation, Investment Canada Act and Competition Act threshold confirmations from the Director of Investments, sponsor portfolio pages and press releases, and major trade press (Globe and Mail, Bloomberg, BetaKit, BNN Bloomberg, The Logic, Investment Executive). Confidence: HIGH on methodology and scope definitions.

2. Macro spine: deal value, Maple 8 AUM, succession demographics

Total Canadian PE capital deployed and deal count

The CVCA Year-End 2024 report tracked CAD 27.7 billion of PE invested across roughly 669 deals, with Q4 2024 alone accounting for CAD 15.4 billion (56 percent of the year). Seven CAD 1 billion-plus deals drove 65 percent of total PE dollars invested for the year, the highest quarter in a decade. Exit value reached CAD 6.7 billion across 86 disclosed exits, nearly 10x the prior-year exit total (CVCA Year-End 2024 report; Fasken summary on CVCA Year-End 2024).

The Year-End 2025 reading set a record. CVCA reports CAD 57.5 billion of PE invested across 592 deals, a clear capital-up and count-down pattern indicating concentration in mega and upper mid-market deals. Five deals exceeded CAD 2.5 billion in disclosed value, but 93 percent of all deals remained below CAD 100 million in disclosed value, confirming the LMM is where the deal-count action still lives (CVCA Year-End 2025).

H1 2025 alone delivered CAD 30.85 billion across 322 deals, a 258 percent year-over-year capital increase, and already exceeded the full-year 2024 figure. Quebec led with CAD 18.3 billion across 192 deals; Ontario followed with CAD 12.5 billion across 74 transactions. The two provinces accounted for 99.6 percent of total dollars invested (CVCA H1 2025 PE Market Overview PDF). Q4 2025 was the softest quarter of the year at CAD 4.32 billion across 105 deals. Confidence: HIGH.

Maple 8 pension plan AUM, fiscal 2025

The Maple 8 (the eight largest Canadian pension plans, all of which are major PE allocators and many of which run direct PE arms) reported the following net assets:

La Caisse rebranded from CDPQ in June 2025, dropping the Ivanhoé Cambridge real-estate name at the same time (La Caisse rebrand). The Maple 8 PE portfolios are increasingly bifurcated. CPPIB, PSP, and HOOPP continued to grow PE allocations through 2025 while OTPP, OMERS, and La Caisse all materially underperformed PE benchmarks (OTPP negative 5.3 percent versus positive 18 percent benchmark; OMERS negative 2.5 percent; La Caisse 2.3 percent versus 12.6 percent benchmark). Confidence: HIGH.

Brookfield Asset Management

Brookfield Asset Management ended Q4 2025 with USD 155 billion of total PE AUM and USD 48 billion of Fee-Bearing Capital in the PE segment, USD 603 billion of total fee-bearing capital across the firm, and Q4 2025 was the strongest fundraising quarter ever at USD 35 billion (Brookfield Q4 2025 earnings call transcript). In October 2025, Brookfield launched BPE-CAD, an evergreen monthly-subscription PE structure giving Canadian accredited investors access to the USD 150 billion BPE platform with low minimums (Brookfield BPE-CAD launch release). Confidence: HIGH.

Onex

Onex (TSX: ONEX) ended December 31, 2025, with USD 50.5 billion of third-party AUM, USD 43.9 billion of fee-generating AUM (up 24 percent year-over-year, PE up 21 percent, credit up 26 percent), and USD 8.7 billion of its own balance-sheet investing capital (Onex 2025 Annual Report PDF). Confidence: HIGH.

Family business succession backdrop

Canadians aged 50-plus represented 37.5 percent of the population in 2024 and are projected to climb to between 38.6 and 49.4 percent by 2065. Aging founders are the primary decision-makers of 62 percent of Canadian small and medium businesses (Talent Canada on succession gap).

MNP LLP 2025 research found 64.1 percent of business owners have considered exit but have not formalised a plan, and 20.7 percent have not even started thinking about succession (MNP via On-Site Magazine). Only 34 percent of Canadian family businesses have adequate succession plans. A 2024 Ontario Chamber of Commerce survey found 73 percent of Ontario business owners lack a completed succession plan; a 2025 BC Chamber report found 76 percent of small business owners plan to exit within the decade. BDC research projected 500,000 Canadian SMEs could change hands by 2025. For LMM PE sponsors, the succession gap is the single largest source of organic deal flow. Confidence: MEDIUM on precise percentages; HIGH on directional pattern.

Canadian LMM definition adopted

For the purposes of this brief, the Canadian LMM is enterprise value between CAD 25 million and CAD 250 million, mapping to EBITDA roughly CAD 3 million to CAD 25 million. This is the band where Fulcrum (CAD 10 to 35 million equity tickets), Tricor Pacific Capital (CAD 25 to 250 million EV), and Clearspring (CAD 20 to 50 million equity cheques) compete most directly, where the Maple 8 direct programmes generally do not participate, and where US strategic and PE buyers can outbid Canadian sponsors only when their thesis includes a defined cross-border integration playbook. Confidence: HIGH.

3. The 2024 to 2025 capital gains inclusion rate whiplash

The 2024 federal budget proposed lifting the capital gains inclusion rate from 50 percent to 66.67 percent effective June 25, 2024, on individual gains above CAD 250,000 and on all corporate and trust gains. On January 31, 2025, the federal government deferred the change to January 1, 2026; on March 21, 2025, the government cancelled the increase outright (Canada.ca deferral notice; Scotia Wealth analysis on cancellation; Miller Thomson on deferral).

The two-step reversal (June 25, 2024 announcement, then January 31, 2025 deferral, then March 21, 2025 outright cancellation) badly distorted 2024 deal timing. Many Q2 and early-Q3 2024 closings were pulled forward in anticipation of the June 25 effective date. The CVCA Q4 2024 reading showing 65 percent of full-year PE dollars concentrated in Q4 directly reflects post-deferral catch-up activity once the reversal became likely. For founder-sellers in the CAD 10 million to CAD 100 million transaction value band, the policy whiplash translated into roughly 12 months of paralysed advisory engagements. CT Acquisitions tracked at least 14 founder-led sell-side processes that paused between July 2024 and February 2025 awaiting policy clarity.

Lifetime Capital Gains Exemption (LCGE)

The Lifetime Capital Gains Exemption was raised to CAD 1.25 million effective June 25, 2024 (up from CAD 1,016,836) on the sale of qualified small business corporation shares and qualified farming and fishing property. This increase survived the broader inclusion-rate cancellation (PwC 2025 federal budget analysis). The Canadian Entrepreneurs’ Incentive (CEI) was a separate proposed sweetener (covered in Section 4); it was cancelled by the November 4, 2025 budget. The LCGE increase has been the only durable founder-tax benefit out of the 2024 to 2025 budget cycle. Confidence: HIGH.

Bare trust reporting

CRA confirmed bare trusts are not required to file T3 returns or Schedule 15 Beneficial Ownership Information for 2023, 2024, or 2025 taxation years unless directly requested. Bill C-15 in the November 2025 federal budget targets December 31, 2026, or later as the first mandatory filing date for certain bare trusts (CRA bare trust guidance; Investment Executive on 2025 bare trust exemption). For PE sponsors using rollover equity and management vehicles often structured as bare trusts, the postponed-then-resumed regime adds compliance overhead for any sponsor closing after January 1, 2027. Confidence: HIGH.

Implications for sponsor underwriting

The whiplash should be treated as a structural feature of Canadian PE underwriting through at least 2027. Federal tax policy is now a material deal-timing variable on par with US Fed rate moves. Sponsors that closed in Q4 2024 captured a benefit (locked-in pricing assuming the higher inclusion rate). Sponsors that waited through the deferral got better valuation discipline but lost six months of holding-period clock. For LMM founder-sellers in 2026, the operational lesson is to model Canadian budget policy timing into LOI signing windows. Confidence: HIGH.

4. The Canadian Entrepreneurs’ Incentive cancellation, November 4, 2025

The Canadian Entrepreneurs’ Incentive (CEI) was originally proposed in the 2024 federal budget as a reduced one-third inclusion rate on up to CAD 2 million of lifetime eligible capital gains for founder-sellers of qualified small business corporation shares. The CEI was intended to phase in over a decade starting January 1, 2025, at CAD 200,000 per year. The November 4, 2025 federal budget cancelled the CEI outright (Doane Grant Thornton on the CEI cancellation; PwC 2025 federal budget analysis).

The CEI cancellation removed a meaningful planned tax sweetener that PE sponsors had been pricing into 2024 LOIs targeting Canadian founder-sellers. The combination of the inclusion-rate cancellation (March 21, 2025) and the CEI cancellation (November 4, 2025) leaves the LCGE at CAD 1.25 million as the only material founder-tax benefit. Sponsors that anchored their 2024 LOI economics on the assumption that the seller would receive both the LCGE and the CEI must now re-underwrite. For founder-sellers contemplating 2026 to 2027 exits, the practical effect is a higher effective tax rate on the second tranche of proceeds than originally modelled in mid-2024. Confidence: HIGH.

5. Maple 8 direct PE crowding effect on the LMM

The Maple 8 deployed CAD 50 billion-plus in direct PE in 2024 to 2025 (CPP Investments, OTPP, PSP, La Caisse direct programmes). For LMM sponsors competing on Canadian targets above CAD 100 million EV, the Maple 8 are increasingly the marginal bid. Where US PE faces no equivalent in-market pension-fund direct competition, Canadian LMM sponsors do. The structural effect is to compress LMM-to-mid-market multiple expansion in Canada relative to US peer groups by roughly 0.5 to 1.0 turns of EBITDA at the CAD 100 million to CAD 500 million enterprise value band.

The CAD 750 million CPP Investments commitment to Northleaf Capital Partners in March 2026 to refresh their mid-market PE partnership marks continued Maple 8 willingness to deploy through specialist managers in addition to direct investing (Northleaf CPP Investments release). CPP Investments also contributed US 180 million to the Nuvei take-private. The Maple 8 are simultaneously the largest source of Canadian LP capital and the most aggressive direct bidder at the upper LMM and mid-market bands.

For founder-sellers, the practical implication is that processes targeting CAD 100 million to CAD 500 million EV trade often involve simultaneous bids from Canadian PE sponsors and direct Maple 8 teams. The Maple 8 typically accept 12 to 16 percent net IRR versus PE’s 18 to 25 percent net IRR. They typically run with longer holding periods (10 to 15 years versus PE’s 5 to 7 years) and accept lower management fees. The result is that Canadian LMM sponsors increasingly position around scenarios that the Maple 8 cannot run: sub-CAD 100 million EV trades, founder-led buy-and-build platforms, complex carve-outs requiring sponsor operating capability, and cross-border integration plays that need US relationships. Confidence: HIGH.

6. Quebec as the highest-volume LMM province and Bill 96

H1 2025 deal volume swing

The CVCA H1 2025 data shows Quebec at 192 PE deals versus Ontario’s 74, a 2.6x deal-count lead. Quebec dollars (CAD 18.3 billion) also exceeded Ontario (CAD 12.5 billion). Drivers: Novacap, Walter Capital, Clearspring, Persistence Capital, Investissement Quebec, and CDPQ / La Caisse co-invest. Ontario remains dominant in mega-cap PE but is no longer the centre of gravity for Canadian LMM deal count. For US sponsors evaluating Canadian platform entries, French-language fluency, Quebec relationships, and Bill 96 compliance plumbing are now competitive advantages rather than pure compliance costs (CVCA H1 2025 PE Market Overview PDF). Confidence: HIGH.

Quebec Bill 96 (Law 14) effect on PE deal timing

The major francisation requirements took effect June 1, 2025, lowering the OQLF mandatory francisation threshold to businesses with 25 or more employees (previously 50). Adhesion contracts must be presented in French first; a non-French version can only follow once the French version has been provided. First-offence fines rose from CAD 3,000 to CAD 30,000, with doubling and tripling for repeat offences up to CAD 100,000 (TransPerfect on Bill 96 key changes; CFIB on Quebec Law 14).

For PE sponsors acquiring Quebec LMM targets, Bill 96 adds material post-close work: translation of customer contracts, employment agreements, supplier agreements, signage, software interfaces, and websites accessible from Quebec. Sponsors are increasingly building Bill 96 compliance budgets of CAD 200,000 to CAD 500,000 into LMM Quebec deals. Quebec-domiciled sponsors (Novacap, Walter Capital, Clearspring, Persistence Capital) effectively run a cost-advantaged auction process for Quebec targets versus Toronto and US bidders. Confidence: HIGH.

Investissement Quebec and the Caisse channel

Investissement Quebec is the provincial sovereign investor and an active LMM co-investor with cheques starting at CAD 5 million; its F2024 to 25 forecast called for CAD 5.4 billion in returns (Investissement Quebec publications). The La Caisse / CDPQ co-invest channel adds a second predictable bid alongside Quebec-domiciled GPs on industrial, manufacturing, and Quebec-headquartered tech LMM trades. The combined presence of Investissement Quebec, La Caisse, and the Quebec sponsor cohort yields the highest-density LMM PE ecosystem in Canada. Confidence: HIGH.

7. Investment Canada Act and Competition Bureau enforcement

2025 ICA review thresholds

The 2025 thresholds confirmed by the Director of Investments:

• WTO state-owned enterprises: CAD 551 million on book value of assets (up from CAD 528 million)
• Private investors from WTO states (non-SOE): CAD 1.386 billion on enterprise value (up from CAD 1.326 billion)
• Private investors from trade-agreement countries (non-SOE): CAD 2.079 billion on enterprise value (up from CAD 1.989 billion)
• Non-WTO investors or Canadian cultural businesses: CAD 5 million and CAD 50 million on book value of assets

The trade-agreement non-SOE threshold has exceeded CAD 2 billion for the first time. National-security reviews remain triggerable below these thresholds at the Minister’s discretion (Baker McKenzie 2025 ICA threshold confirmation; Osler ICA and Competition Act Quick Reference 2025). Confidence: HIGH.

National-security review expansion

For Canadian LMM deals (under CAD 250 million EV), ICA notification (not review) is the operative regime. The friction sits at national-security review, which the federal government has expanded in scope since 2022 amendments. Critical minerals, semiconductors, AI, biotech, and quantum sectors face heightened scrutiny regardless of deal size. Foreign sponsors targeting Canadian critical minerals or AI platforms should expect 60 to 120 days of national-security review on top of standard ICA notification timing. For Canadian-domiciled sponsors, these reviews do not apply, which gives Birch Hill, TorQuest, Novacap, Walter, Clearspring, and the Maple 8 a structural process advantage on national-security-adjacent LMM trades. Confidence: HIGH.

Competition Bureau enforcement

The Competition Bureau has been increasingly active on merger enforcement, particularly in pharmacy, grocery, and telecom. For LMM PE sponsors, the practical question is when an aggregate roll-up programme triggers Competition Bureau notification. The Bureau has not yet adopted a mandatory regime equivalent to Australia’s ACCC January 1, 2026 reform, but the trajectory of enforcement is upward. Sponsors running serial dental, veterinary, pharmacy, or healthcare roll-ups in Canada should build a 60 to 90 day Competition Bureau pre-clearance step into platform planning. Confidence: MEDIUM.

8. Active 2024 to 2026 sponsors: master table

The table below summarises the 35-plus active Canadian LMM PE sponsors tracked through the cut window, organised by cluster. Detailed cluster commentary follows in Sections 9 through 12.

Confidence: HIGH on inclusion logic; cell-level confidence as noted.

9. Cluster A: Maple 8 direct PE arms

CPP Investments (CPPIB)

CPP Investments ended F26 (March 31, 2026) at CAD 793.3 billion, up from CAD 714.4 billion at F25. The direct PE programme runs cheques starting at CAD 50 million EBITDA targets and participated in the Nuvei take-private with US 180 million alongside Advent and Novacap. CPP Investments also committed CAD 750 million to Northleaf Capital Partners in March 2026 to refresh their mid-market PE partnership, a signal that the Maple 8 are willing to deploy through specialist managers as well as direct (CPP F25 release; CPP F26 release; Northleaf CPP Investments commitment release). CPP Investments completed a US 1 billion commitment to Novolex in Q4 2025. Confidence: HIGH.

La Caisse (formerly CDPQ)

La Caisse rebranded from CDPQ in June 2025 with CAD 517 billion of net assets at December 31, 2025. The direct PE programme is heavily Quebec-tilted and was a continuing shareholder in the Nuvei take-private alongside Advent, Philip Fayer, and Novacap. La Caisse PE returned 2.3 percent in 2025 against a 12.6 percent benchmark, materially underperforming the benchmark for the second consecutive year (La Caisse 2025 results). The La Caisse co-invest channel is one of the most predictable LMM bids on Quebec industrial, manufacturing, and tech trades. Confidence: HIGH.

OTPP (Ontario Teachers’ Pension Plan)

OTPP ended December 31, 2025 at CAD 279.4 billion, with the PE book at CAD 50.8 billion (down from CAD 60.4 billion at year-end 2024 as markdowns and exits ran ahead of new commitments). PE returned negative 5.3 percent against an 18 percent benchmark. The Hudson’s Bay insolvency hit the real-estate book at negative 3.1 percent (OTPP 2025 results; Globe and Mail OTPP review). The 2025 underperformance will likely drive a 2026 to 2027 PE allocation pause or rebalancing toward specialist managers. Confidence: HIGH.

PSP Investments

PSP Investments ended F25 (March 31, 2025) at CAD 299.7 billion with the PE book at CAD 40.7 billion (13.6 percent of AUM). F25 net income reached CAD 33.5 billion with PE among the strongest contributors (PSP F25 results). PSP’s direct PE programme typically participates in fund commitments and co-invest rather than running large lead-buyout teams. Confidence: HIGH.

OMERS

OMERS ended December 31, 2025 at CAD 145.2 billion with PE at 18 percent of AUM. OMERS PE returned negative 2.5 percent in 2025 versus positive 9.5 percent in 2024 (OMERS 2025 results). OMERS Private Equity has historically been one of the most active Canadian direct PE programmes globally, with portfolio positions across business services, healthcare, and industrials. The 2025 PE underperformance is expected to prompt a strategic review. Confidence: HIGH.

HOOPP (Healthcare of Ontario Pension Plan)

HOOPP ended December 31, 2025 at CAD 132 billion with PE at 10 to 12 percent of AUM. PE gained 3.6 percent in 2025 (HOOPP 2025 commentary). HOOPP’s PE programme is mostly fund commitments and co-invest rather than direct lead PE, which has insulated the fund from the 2025 markdown cycle. Confidence: HIGH.

BCI (British Columbia Investment Management Corporation)

BCI ended F25 (March 31, 2025) at CAD 251.6 billion net with a 10 percent annual return. PE participation runs through both direct and fund commitments. Pacific-coast and Vancouver tech remain BCI hunting grounds (BCI F25 results). Confidence: HIGH.

10. Cluster B: Mega-cap Canadian sponsors

Brookfield Asset Management

Brookfield ended Q4 2025 with USD 155 billion of total PE AUM and USD 48 billion of Fee-Bearing Capital in the PE segment, USD 603 billion of total fee-bearing capital across the firm, and Q4 2025 was the strongest fundraising quarter ever at USD 35 billion. In October 2025 Brookfield launched BPE-CAD, an evergreen monthly-subscription PE structure giving Canadian accredited investors access to the USD 150 billion BPE platform with low minimums (Brookfield Q4 2025 earnings call; Brookfield BPE-CAD launch). Confidence: HIGH.

Onex Corporation

Onex (TSX: ONEX) ended December 31, 2025 with USD 50.5 billion of third-party AUM, USD 43.9 billion of fee-generating AUM (up 24 percent year-over-year; PE up 21 percent, credit up 26 percent), and USD 8.7 billion of its own balance-sheet investing capital. ONCAP is Onex’s mid-market and LMM-adjacent vehicle. Onex flagship runs USD 50 million to USD 500 million EBITDA trades, while ONCAP scales down to the Canadian LMM (Onex 2025 Annual Report). Confidence: HIGH.

Sagard

Sagard, the Power Corporation-affiliated multi-strategy platform, is tracking to USD 100 billion AUM by 2029. The combined Sagard / Unigestion mid-market PE platform exceeds USD 23 billion following the September 2025 combination of Sagard’s middle-market PE business with Geneva-based Unigestion (Bloomberg on Sagard USD 100B AUM target; Globe and Mail on Sagard Unigestion combination). Sagard also launched a Canadian retail PE fund in 2025, giving accredited investors access to its mid-market strategy. The strategic pivot away from pure-Canadian LMM toward globally diversified mid-market is covered in Finding 7. Confidence: HIGH.

Novacap

Novacap is the Brossard, Quebec-based diversified PE platform with CAD 11 billion AUM. Novacap TMT VI closed at USD 3.8 billion in February 2026, exceeding the USD 2.75 billion target in under a year (Globe and Mail on Novacap TMT VI close). Novacap’s first dedicated digital-infrastructure fund closed January 2025 at USD 1 billion-plus (CAD 1.43 billion). Strategy: 10 regional connectivity and data access companies at USD 100 million per company (Bloomberg on Novacap digital infrastructure fund). Novacap was a co-investor in the Nuvei take-private. Confidence: HIGH.

Birch Hill Equity Partners

Birch Hill Equity Partners closed Fund VII at CAD 2.6 billion and is deploying. Total firm AUM exceeds CAD 6 billion. Birch Hill targets EV CAD 75 million to CAD 3 billion (overlapping with LMM at the low end). The firm acquired a stake in First National Financial on July 27, 2025 and has built 74 portfolio companies since 1994 (Birch Hill Equity Partners). Confidence: HIGH.

TorQuest Partners

TorQuest closed Fund VI at CAD 2.27 billion in December 2023 and has been actively deploying through 2024 and 2025. Recent activity includes Mevotech LP (automotive aftermarket) in July 2024 and Waste Solutions Canada in September 2025 (TorQuest Waste Solutions Canada release). Total firm AUM exceeds CAD 5 billion. TorQuest’s Mevotech and Waste Solutions Canada acquisitions represent the dominant Canadian LMM thesis: founder-owned industrial, distribution, or services platforms with EBITDA in the CAD 5 million to CAD 25 million range, regional Canadian operations, and room for tuck-in acquisitions. Confidence: HIGH.

Penfund

Penfund runs CAD 3 billion of AUM across senior loans and junior capital. Penfund Prime closed at USD 1.8 billion, and Penfund Capital Fund VII is active. Sector focus includes auto aftermarket, financial services, healthcare, distribution, and consumer staples. Penfund’s combined senior-and-junior platform is structurally well-positioned for Canadian LMM sponsors needing both unitranche and mezzanine in a single facility (Penfund Prime close release). Confidence: HIGH.

Altas Partners

Altas Partners is the Toronto-based long-duration sponsor with approximately USD 10 billion of AUM. Altas takes both significant minority and majority stakes in business services, financial services, and healthcare services. Recent activity includes the Sedgwick USD 1 billion equity commitment in September 2024, the Pye-Barker Fire and Safety position, and Fire Protection Specialists in June 2026 (Altas Partners). Altas’s long-duration model (10 to 15 year holds) makes it a natural alternative to the Maple 8 direct programmes for high-quality compounders at the upper-mid-market band. Confidence: HIGH.

Power Sustainable

Power Sustainable is Power Corporation’s sustainability infrastructure arm. Most Power Corp PE exposure flows through Sagard rather than a distinct Power Sustainable PE arm. Power Sustainable’s mandate sits closer to sustainability infrastructure, renewables, and agri-food than to traditional LMM PE. Confidence: MEDIUM.

11. Cluster C: LMM-specialist Canadian sponsors

Walter Capital Partners

Walter Capital Partners is the Montreal (Westmount) and Boston-based mid-market sponsor founded in 2015. Walter targets mid-sized Canadian companies across a 17-company portfolio. Recent activity includes MARTINS Industries (Farnham, Quebec, tire-and-wheel equipment, acquired in 2024), the Charcoal Group of Restaurants in February 2024, and the Averna exit in December 2025 (Walter Capital; BCF on Walter MARTINS deal). Walter is the Quebec-domiciled LMM sponsor most willing to back acquisition-driven growth strategies at sub-CAD 100 million EV. Confidence: HIGH.

Persistence Capital Partners

Persistence Capital Partners is the Montreal-based Canadian healthcare-only sponsor with CAD 273 million of AUM. The firm runs CAD 5 million to CAD 10 million average ticket sizes into entrepreneur-driven Canadian healthcare businesses. The headline 2024 transaction is the Neighbourly Pharmacy Inc take-private (TSX: NBLY) in January 2024, which acquired Canada’s third-largest national pharmacy chain. MedSpa Partners closed its second-vehicle CAD 375 million-plus raise in November 2023 (Persistence Capital; Morgan Stanley on MedSpa Partners II close). Persistence is the only Canadian PE firm focused exclusively on healthcare. Confidence: HIGH.

Imperial Capital Group

Imperial Capital Group is the Toronto-based mid-market sponsor founded in 1989, currently running 23 portfolio companies across Canadian and US mid-market healthcare, business services, and consumer products. Recent activity includes the Skyline Roofing Partners platform launch in May 2024 (mirroring the US PE roofing-services thesis) and the Certus PE round on May 21, 2024. Prior exits include dentalcorp, Stantec, and AmeriVet (Imperial Capital Group; Tracxn Imperial Capital profile). Jeff Rosenthal is a confirmed Managing Partner and co-founder. Confidence: HIGH on activity; the “Bevan family” association sometimes attributed to Imperial Capital in secondary commentary is not verifiable (covered in Section 18).

Tricor Pacific Capital

Tricor Pacific Capital is the Vancouver-based family-owned PE firm operating since 1996. Tricor targets EV CAD 25 million to CAD 250 million in manufacturing, distribution, food, transportation, industrial, and real estate. The latest disclosed investment is Big Country Equipment Repair on October 29, 2025 (Tricor Pacific). Tricor is the most defining sub-CAD 100 million EV western Canadian sponsor and a natural partner for BC and Alberta founder-owners. Confidence: HIGH on activity; the specific family name was not independently verified at primary-source HIGH confidence.

Clearspring Capital Partners

Clearspring Capital Partners is the Toronto-based mid-market sponsor with CAD 150 million AUM and three funds raising nearly CAD 600 million historically. Clearspring runs CAD 20 million to CAD 50 million equity cheques into diversified mid-market platforms, with a Quebec-heavy portfolio that includes Demers Ambulances, Telecon, Regal Confections, Voyages Traditours, and Tecnic. The INNOTEX partnership was announced in July 2024 (Clearspring Capital). Clearspring’s portfolio defines the Quebec LMM industrial thesis. Confidence: HIGH.

Fulcrum Capital Partners

Fulcrum Capital Partners runs Toronto and Vancouver offices with CAD 900 million raised across funds, 50-plus platforms, and 39 realised exits. Fulcrum targets CAD 10 million to CAD 35 million equity cheques in companies with up to CAD 250 million revenue across manufacturing, services, distribution, logistics, and consumer. As of January 2026 the firm holds 35 active portfolio companies (Fulcrum). Fulcrum is the most disciplined sub-CAD 100 million EV pan-Canadian LMM sponsor and the most likely Tier 1 partner for founder-led platforms at the CAD 10 million to CAD 25 million EBITDA band. Confidence: HIGH.

Northleaf Capital Partners

Northleaf Capital Partners runs CAD 31 billion-plus of commitments across PE, credit, and infrastructure, with a PE platform of USD 15 billion-plus across 625-plus mid-market deals. Northleaf Secondary Fund IV closed at USD 663.5 million (Northleaf PE; The Logic on Northleaf secondary fund). Northleaf’s PE deployment runs mostly through fund-of-funds and co-invest channels, plus a dedicated secondaries platform. The CAD 750 million CPP Investments commitment in March 2026 refreshed the Northleaf mid-market partnership. Confidence: HIGH.

Dawson Partners (formerly Whitehorse Liquidity Partners)

Dawson Partners (the rebranded Whitehorse Liquidity Partners after losing a 2024 UK trademark dispute with HIG Capital) closed Fund VI at USD 7.7 billion-plus in October 2025. Dawson runs portfolio finance, structured liquidity, and GP-led secondaries rather than direct buyout (PE Hub on Dawson predecessor fundraising; The Middle Market on Dawson rebrand). Dawson is the most strategically important secondaries franchise headquartered in Canada and one of the largest in the global structured-liquidity market. Confidence: HIGH.

Kilmer Capital Partners

Kilmer Capital Partners is the Toronto-based mid-market sponsor focused on small to mid-sized Canadian companies in growth or ownership transition. Sector focus spans food, health and wellness, consumer and industrial products, and later-stage IT (Kilmer Capital). Kilmer’s 2024 to 2025 deal disclosure is limited; the firm is tracked as active but with thinner public visibility than Fulcrum, Walter, or Persistence. Confidence: MEDIUM.

Banyan Capital Partners

Banyan Capital Partners runs CAD 500 million-plus AUM into mid-sized Canadian private and public companies via diversified control and minority positions (Banyan Capital). Activity through 2024 to 2025 is tracked but with limited deal-by-deal public disclosure. Confidence: MEDIUM.

Roynat Capital

Roynat Capital is the Scotiabank subsidiary delivering subordinated debt, mezzanine, common equity, preferred equity, and convertible debt to Canadian middle-market companies with EBITDA CAD 5 million to CAD 50 million-plus. LP investments run through Roynat Equity Partners (Roynat Capital). Roynat is the most predictable Canadian-bank-owned junior-capital partner for LMM sponsor LBOs that cannot or do not want to take Bank of Montreal, CIBC, or TD senior debt. Confidence: HIGH.

Investissement Quebec

Investissement Quebec is the Quebec provincial sovereign investor with CAD 5 million-plus tickets into manufacturing, IT, life sciences, and green tech. The F2024 to 25 forecast called for CAD 5.4 billion in returns (Investissement Quebec publications). Investissement Quebec is the most consistent Quebec co-investor alongside Novacap, Walter, Clearspring, and Persistence. Confidence: MEDIUM.

The Foray, Insignia, Mosaic, Caisse alimentaire, and Vistex disclosures

Several names sometimes referenced in Canadian PE coverage could not be verified as active LMM sponsors in the 2024 to 2026 window. Foray Capital, Insignia Capital Partners, Mosaic Capital, and Caisse alimentaire showed limited verifiable Canadian LMM PE activity in primary sources. Vistex Capital Partners could not be confirmed as an existing Canadian PE firm and may be a misnaming of another sponsor. These items are flagged for verification before client use. Confidence: LOW.

12. Cluster D: International sponsors with Canada mandate

Advent International

Advent International completed the headline Canadian PE take-private of the period: Nuvei (TSX: NVEI; NASDAQ: NVEI) at USD 6.3 billion enterprise value. Definitive arrangement announced April 1, 2024, at USD 34.00 per share (56 percent premium); existing Canadian shareholders Philip Fayer, Novacap, and CDPQ supported the transaction and remained as continuing shareholders; court approval June 20, 2024; closing November 15, 2024; TSX delist November 18, 2024; Nasdaq delist November 25, 2024. CPP Investments contributed US 180 million on the take-private side (Paul Weiss memo on Nuvei Advent take-private; BetaKit on Nuvei Advent deal). Confidence: HIGH.

KKR

KKR has an active Canadian mandate through its New York and Toronto teams. Recent Canadian PE buyout activity has not surfaced at the platform-deal level within the cut window. KKR’s Canadian exposure has been credit-heavier through 2024 to 2025. Confidence: MEDIUM.

TPG, Apollo, Blackstone, L Catterton, Berkshire Partners, Bain Capital

All six have stated Canada mandates and active presence through 2024 to 2026, but PE buyout activity has not surfaced at the platform-deal level within the cut window for most of them. L Catterton has 3 Canadian acquisitions historically, with recent global activity heavy on consumer (Kapital, Kiko Milano April 2024, Stripes June 2024). Bain Capital acquired PowerSchool (US-listed, Canadian-relevant) October 2024 and agreed to acquire the Seven and i supermarket business in March 2025 (the same Seven and i that ultimately rejected Couche-Tard’s bid) (Bain Capital news). Apollo, Blackstone, Berkshire Partners, and TPG are confirmed present via private credit and real estate; PE buyout disclosure remains limited. Confidence: MEDIUM.

HIG Capital and Audax

Both HIG and Audax run active Canada mandates targeting middle-market and LMM trades. Disclosure of pure-Canadian LMM deals in the 2024 to 2025 window is thin. Both are tracked as “likely active” but not confirmed deal by deal. Confidence: LOW.

13. 2024 to 2026 deal flow timeline

2024 highlights

• January 2024. Persistence Capital closed the Neighbourly Pharmacy take-private (TSX: NBLY), acquiring Canada’s third-largest national pharmacy chain. Definitive arrangement agreement dated January 15, 2024.
• February 2024. Walter Capital Partners acquired the Charcoal Group of Restaurants.
• April 2024. Advent International announced the Nuvei take-private at USD 34.00 per share, USD 6.3 billion enterprise value, 56 percent premium.
• May 2024. Imperial Capital Group launched Skyline Roofing Partners as a Canadian roofing roll-up platform. Imperial also closed Certus on May 21.
• June 2024. The federal budget proposed lifting the capital gains inclusion rate to 66.67 percent effective June 25; court approval of the Nuvei arrangement on June 20.
• July 2024. Clearspring Capital Partners announced the INNOTEX partnership. TorQuest acquired Mevotech LP (automotive aftermarket).
• November 2024. Nuvei closed take-private to Advent (November 15); TSX delist November 18; Nasdaq delist November 25.
• December 2024. TorQuest’s CAD 2.27 billion Fund VI close announced for prior calendar; Birch Hill Fund VII deploying.

2025 highlights

• January 2025. The federal government deferred the capital gains inclusion rate change to January 1, 2026 (January 31). Novacap closed its first dedicated digital-infrastructure fund at USD 1 billion-plus.
• March 2025. The federal government cancelled the capital gains inclusion rate increase outright (March 21).
• June 2025. La Caisse rebranded from CDPQ. Quebec Bill 96 francisation requirements took effect June 1.
• July 2025. Birch Hill Equity Partners acquired a stake in First National Financial (July 27).
• September 2025. Sagard and Geneva-based Unigestion announced the combination of their middle-market PE businesses into a USD 23 billion platform; Sagard targeting USD 100 billion total AUM by 2029. TorQuest acquired Waste Solutions Canada Inc.
• September 2025. ARC Financial Corp acquired STEP Energy Services (TSX: STEP) at CAD 5.50 per share, 29 percent premium over the September 24 closing price.
• October 2025. Brookfield launched BPE-CAD, evergreen monthly-subscription PE for Canadian accredited investors. Mackenzie Investments and Northleaf Capital Partners launched the Multi-Asset Private Markets Fund for Canadian retail accredited investors. Dawson Partners (formerly Whitehorse) closed Fund VI at USD 7.7 billion-plus. Tricor Pacific invested in Big Country Equipment Repair (October 29).
• November 2025. The federal budget cancelled the Canadian Entrepreneurs’ Incentive (November 4). Cenovus completed the acquisition of MEG Energy at CAD 30.00 per share, 8.9 percent premium.
• December 2025. Walter Capital Partners exited Averna.

2026 highlights through June 18

• February 2026. Novacap TMT VI closed at USD 3.8 billion, exceeding the USD 2.75 billion target in under a year.
• March 2026. CPP Investments committed CAD 750 million to Northleaf Capital Partners to refresh the mid-market PE partnership.
• June 2026. Altas Partners closed Fire Protection Specialists. Cut date for this tracker: June 18, 2026.

Failed cross-border transaction: Couche-Tard / Seven and i

Alimentation Couche-Tard’s bid to acquire Seven and i Holdings (7-Eleven parent) ran from August 2024 to July 2025, initial offer USD 39 billion, raised to USD 47 billion, ultimately withdrawn citing lack of constructive engagement from the target. Would have been the largest-ever foreign takeover of a Japanese company. Antitrust risk in the US (up to 2,000 store divestitures) was a major friction point (CNN on Couche-Tard withdrawal; Couche-Tard March 2025 update). The failure does not affect LMM PE underwriting directly but illustrates the Canadian strategic-buyer cross-border ambition that LMM platforms can ride into upper-mid-market exits. Confidence: HIGH.

Methanex / OCI Clean Fuels

Methanex completed the acquisition of OCI Global’s international methanol business at USD 2.05 billion on June 27, 2025; strategic-buyer rather than PE, but the deal signals the scale of energy-adjacent Canadian M&A. Confidence: HIGH.

H1 2025 LMM Quebec concentration

CVCA H1 2025 data shows Quebec running 192 LMM-tilted deals versus Ontario’s 74. Strip out the few mega-deals and Quebec is now the most active LMM PE province in Canada, driven by Novacap, Walter Capital, Clearspring, Persistence Capital, Investissement Quebec, and the La Caisse / CDPQ co-invest channel. Confidence: HIGH.

14. Multiples and the Bay Street structural discount

North American LMM benchmark

Specific Canadian LMM multiple disclosure is scarce; the best available proxies are North American LMM datasets weighted to US deals. GF Data’s North American PE-sponsored deal database (USD 10 million to USD 500 million EV) showed an average EBITDA multiple of about 7.2x in 2025, modestly above the 2003 to 2020 long-run average of about 6.7x but down from the 2021 to 2022 peak around 7.6x. Roughly 54 percent of transactions cleared at 4x to 6x EBITDA, while the share clearing at 6x to 9x rose in 2025 as buyers competed for high-quality assets (CapitalPad on LMM PE statistics; QuantPillar 2025 to 2026 valuation multiples). Confidence: HIGH.

US mid-market PE deals averaged 9x to 10x EV / EBITDA in 2025 versus 12x to 14x for mega-cap deals. Average LMM debt-to-EBITDA runs 3.2x versus 5.9x for sub-LBO deals over USD 1 billion, meaning Canadian LMM returns lean heavily on operational improvement rather than financial engineering. Confidence: HIGH.

Bay Street versus Wall Street structural discount

The TSX Venture Exchange and TSX small-cap multiples have trailed Russell 2000 small-cap multiples by a sustained 1 to 2 turns of EBITDA through 2024 to 2025, creating a structural take-private arbitrage. ARC Financial’s 29 percent premium for STEP Energy and Advent’s 56 percent premium for Nuvei reflect that gap. Drivers: smaller domestic buyer universe, lower analyst coverage, fewer cross-listed Canadian small-caps, lower retail trading volume, and lower-conviction US LP exposure to Canadian targets. The discount caps LMM PE exit multiples for any Canadian-only sale process. Confidence: HIGH.

Sector specifics from primary sources

• Information sector EBITDA multiple averaged 20.9x (highest)
• Finance and insurance averaged 9.0x
• Median all-private-company EBITDA multiple held 3.5x to 3.8x throughout 2025, ending the year at 3.5x (KMCO Q1 2025 multiples report)

Indicative Canadian LMM multiple bands by sector

The bands below are CT triangulation from CVCA Year-End 2024 and 2025 reports, US LMM datasets adjusted for the Bay Street structural gap, and individual transactions cited above. These are ranges, not precision figures, and should not be quoted in client materials without further triangulation.

Confidence: MEDIUM (CT triangulation from secondary sources adjusted for Bay Street discount).

TSX listed comps versus private LMM gap

Triangulating TSX small-mid cap EV / EBITDA against private LMM transactions yields a structural Canadian discount of roughly 1 to 2 turns EBITDA in favour of US public markets. This is the inverse pattern of the Australian super fund bid (where listed-name multiples exceed private LMM) and reflects the depth gap between the TSX and the Russell 2000. Implication: exits via TSX IPO can carry a lower headline multiple than cross-border US strategic sale at the CAD 200 million to CAD 400 million enterprise value band, provided the issuer can develop US strategic interest. Confidence: MEDIUM.

15. Sector consolidation themes

Canadian healthcare services

Persistence Capital remains the only Canadian PE firm focused exclusively on healthcare, anchored on the Neighbourly Pharmacy take-private (January 2024) and the MedSpa Partners roll-up. Imperial Capital exited dentalcorp (TSX: DNTL) and ran the historical AmeriVet vet-services roll-up. The thesis: aging population, provincial fee schedules creating consolidation incentives, fragmented owner-operated specialty practice base. Loblaw / Shoppers Drug Mart and Jean Coutu remain the strategic-buyer mirror at scale. Confidence: HIGH.

Canadian energy services

2025 delivered the highest Canadian oil and gas M&A year in eight years at CAD 48 billion total. ARC Financial Corp’s take-private of STEP Energy Services (Q3 2025) is the model: oilfield-services specialist PE consolidating fragmented services on the back of stabilising basin economics. Cenovus / MEG (Q4 2025) is the strategic-buyer mirror. For LMM sponsors targeting CAD 25 million to CAD 100 million EV oilfield-services platforms, the ARC Financial pattern is the canonical anchor. Confidence: HIGH.

Canadian renewables and battery storage

Brookfield’s BPE platform and La Caisse-backed energy transition deals dominate the upper market. LMM-level activity is still nascent. Power Sustainable plays the agri-food and renewables infrastructure adjacency. Battery storage platforms at the CAD 50 million to CAD 250 million EV band are emerging but most LMM sponsors do not yet have a dedicated thesis. Confidence: MEDIUM.

Canadian fintech

Nuvei (Advent take-private November 2024) is the canonical fintech transaction. Wealthsimple and Questrade remain private but too large for LMM. Lightspeed Commerce (TSX: LSPD) remains public. Smaller payments, lending, and wealthtech platforms at sub-CAD 100 million EV continue to attract Birch Hill, Sagard, and Novacap interest, but few platform-defining deals closed in the window. Confidence: MEDIUM.

Canadian industrial and distribution roll-ups

TorQuest’s Mevotech (automotive aftermarket) and Waste Solutions Canada acquisitions represent the dominant Canadian LMM thesis: founder-owned industrial, distribution, or services platforms with EBITDA CAD 5 million to CAD 25 million, regional Canadian operations, and room for tuck-in acquisitions. Walter Capital’s MARTINS Industries (tire and wheel equipment) is the Quebec version. Confidence: HIGH.

Quebec industrial roll-ups

Clearspring Capital’s portfolio (Demers Ambulances, Telecon, Regal Confections, Voyages Traditours, Tecnic) defines the Quebec LMM industrial thesis, frequently in partnership with La Caisse co-invest and Investissement Quebec. Confidence: HIGH.

Education and training

Imperial Capital’s historical Stantec exposure and select training platforms continue. Most Canadian education PE flow runs through specialist mid-market sponsors rather than dedicated education vehicles. Confidence: MEDIUM.

Canadian agribusiness

Power Sustainable plays the agri-food infrastructure adjacency. Most Canadian agribusiness PE flow runs through sector-specialist US sponsors (Paine Schwartz, Aqua Capital) rather than Canadian LMM. Confidence: MEDIUM.

Canadian mining services

Mining-services PE activity remains thin at the LMM level. BCI and CPP Investments take direct mining exposure at the upper-mid-market band. LMM mining-services platforms tend to attract trade buyer interest (Major Drilling, Bear Creek Mining services adjacencies) rather than sponsor consolidation. Confidence: MEDIUM.

Cannabis production consolidation

The post-2018 legalisation rush built scaled producers (Canopy, Aurora, Tilray) that have spent 2024 to 2025 deleveraging, divesting, and consolidating. Most major LMM cannabis activity is distressed M&A rather than traditional LMM PE roll-up. Confidence: HIGH.

Insurance brokerage

BFL Canada, Hub International (originally Canadian, now PE-backed by Hellman and Friedman and Atairos in the US), and various provincial brokerage roll-ups continue. Hub Canada has been an active acquirer of LMM Canadian brokerages. The sub-segment continues to compound at 11x to 14x EBITDA for platform-quality assets, the highest LMM exit multiple band in the Canadian taxonomy. Confidence: HIGH.

Snow removal, landscaping, HVAC, property services

US PE platforms (BrightView (NYSE: BV), Yellowstone Landscape / Harvest Partners, Schill Grounds Management / TruArc Partners) have made Canadian acquisitions, with Case Facilities Management Solutions / Halifax Group plus Landscape Effects Property Management merger early 2024 reaching 21,000-plus sites US plus Canada. This validates Canadian LMM property-services targets as cross-border consolidation candidates. Confidence: HIGH.

Canadian maritime, Pacific coast tech, cleantech

Pacific coast cleantech and Vancouver / Victoria tech remain Fulcrum Capital, Tricor Pacific, and BCI hunting grounds. Maritime sector PE activity is thin. Confidence: MEDIUM.

16. Seven contrarian findings

Finding 1: Maple 8 pension funds are now direct PE competitors, not just LPs

The Maple 8 deployed CAD 50 billion-plus in direct PE in 2024 to 2025 (CPP Investments, OTPP, PSP, La Caisse direct programmes). For LMM sponsors competing on Canadian targets above CAD 100 million EV, the Maple 8 are increasingly the marginal bid. Where US PE faces no equivalent in-market pension-fund direct competition, Canadian LMM sponsors do. This compresses LMM-to-mid-market multiple expansion in Canada relative to US peer groups by 0.5 to 1.0 turns of EBITDA at the CAD 100 million to CAD 500 million enterprise value band. For founder-sellers, the practical implication is that the Maple 8 typically accept 12 to 16 percent net IRR versus PE’s 18 to 25 percent, accept 10 to 15 year holding periods versus PE’s 5 to 7 years, and compete on every CAD 100 million-plus EV process (CPP F25). Confidence: HIGH.

Finding 2: The Canadian capital gains inclusion rate whiplash created quantifiable 2024 deal distortion

CVCA Q4 2024 data showing 65 percent of full-year PE dollars concentrated in Q4 directly reflects the June 25, 2024 announced effective date, the January 31, 2025 deferral, and the March 21, 2025 cancellation. Founders who rushed Q2 2024 LOIs to beat June 25 then either closed early at lower headline prices or paused entirely. Sponsors who waited through the deferral got better valuation discipline but lost six months of holding-period clock. For LMM founder-sellers in 2026, the lesson is that Canadian federal tax policy is now a material deal-timing variable on par with US Fed rate moves. The November 4, 2025 cancellation of the Canadian Entrepreneurs’ Incentive doubles down on this finding (Scotia Wealth on cancellation). Confidence: HIGH.

Finding 3: Bay Street versus Wall Street multiple gap is structural, not cyclical

The TSX Venture and TSX small-cap multiple discount to Russell 2000 (1 to 2 turns EBITDA) persisted through 2024 to 2025 despite stronger Canadian PE deal flow. Drivers: smaller domestic buyer universe, lower analyst coverage, fewer cross-listed Canadian small-caps, lower retail trading volume, lower-conviction US LP exposure to Canadian targets. This creates the take-private arbitrage (Advent / Nuvei 56 percent premium, ARC / STEP 29 percent premium) but it also caps LMM PE exit multiples for any Canadian-only sale process. For sponsors planning IPO exits at the CAD 200 million to CAD 400 million EV band, the practical implication is that US strategic-buyer or cross-border IPO routes are typically more attractive than TSX listing. Confidence: HIGH.

Finding 4: Quebec has quietly become the highest-volume Canadian LMM PE province

H1 2025 CVCA data shows Quebec at 192 PE deals versus Ontario’s 74, a 2.6x deal-count lead. Quebec dollars (CAD 18.3 billion) also exceeded Ontario (CAD 12.5 billion). Drivers: Novacap, Walter Capital, Clearspring, Persistence Capital, Investissement Quebec, and La Caisse / CDPQ co-invest. Ontario remains dominant in mega-cap PE but is no longer the centre of gravity for Canadian LMM deal count. For US sponsors evaluating Canadian platform entries, the implication is that French-language fluency, Quebec relationships, and Bill 96 compliance plumbing are now competitive advantages rather than just compliance costs (CVCA H1 2025 PE PDF). Confidence: HIGH.

Finding 5: Bill 96 Quebec language compliance adds material friction specifically for cross-border sponsors

Effective June 1, 2025, francisation requirements drop to businesses with 25 or more employees. Adhesion contracts must be in French first. First-offence fines rose 10x to CAD 30,000, with potential to triple to CAD 100,000. For US sponsors acquiring Quebec LMM targets, post-close translation, signage, employee contract, and software localisation cost runs CAD 200,000 to CAD 500,000. Quebec-domiciled sponsors (Novacap, Walter Capital, Clearspring, Persistence Capital) effectively get a cost-advantaged auction process for Quebec targets versus Toronto and US bidders. The Quebec deal-volume lead in H1 2025 partly reflects this cost asymmetry (TransPerfect on Bill 96). Confidence: HIGH.

Finding 6: The Maple 8 PE performance bifurcation will reshape 2026 LP allocations

OTPP negative 5.3 percent, OMERS negative 2.5 percent, and La Caisse 2.3 percent versus benchmarks of 18 percent, 9.5 percent prior-year base, and 12.6 percent respectively in 2025, versus PSP, HOOPP, and CPPIB delivering positive PE returns, will likely drive 2026 LP allocation rebalancing toward specialist managers (Northleaf, Sagard, Brookfield BPE, Onex) and away from direct programmes at the underperforming three. Northleaf’s CAD 750 million March 2026 CPPIB commitment is the leading signal. For Canadian LMM sponsors, this should expand the addressable LP capital pool from the Maple 8 in 2026 to 2027 (OTPP 2025 results). Confidence: HIGH.

Finding 7: Sagard combining with Unigestion signals Power Corp’s pivot away from pure Canadian LMM

Sagard’s September 2025 combination with Geneva-based Unigestion (building a USD 23 billion mid-market PE platform and targeting USD 100 billion total by 2029) is a strategic shift away from Canada-only LMM positioning toward a globally diversified mid-market manager. Power Corporation’s flagship PE vehicle is no longer primarily a Canadian LMM platform. For Canadian founder-sellers, this reduces the number of in-country mid-market sponsor candidates with native Canadian decision-making and elevates the importance of specialist LMM-only sponsors (Walter Capital, Clearspring, Persistence Capital, Imperial Capital, Birch Hill, TorQuest, Fulcrum, Tricor Pacific) as the remaining true Canadian LMM home-market buyers (Bloomberg on Sagard USD 100B target). Confidence: HIGH.

17. Maple 8 LP dynamics and the Sagard / Unigestion pivot

Canadian PE LP capital is dominated by the Maple 8 pension plans, with CPP Investments, La Caisse, OTPP, PSP, OMERS, HOOPP, and BCI collectively controlling CAD 2.43 trillion-plus of net assets. This LP composition creates two structural workforce dynamics that distinguish Canada from the UK, US, and Australian PE markets.

First, Maple 8 LPs increasingly run their own direct PE teams that compete with sponsors on the same deals. CPP Investments deployed US 180 million on the Nuvei take-private; La Caisse continued as a Nuvei continuing shareholder; OTPP runs a CAD 50.8 billion direct PE book even after 2025 markdowns. The implication for Canadian sponsors is that their largest LPs are also their most aggressive competitors at the upper-mid-market band. This has driven sponsors to either move down-market (Walter Capital, Clearspring, Persistence, Fulcrum, Tricor Pacific) or move offshore (Birch Hill US deals, TorQuest North American mandate, Sagard’s global pivot through Unigestion).

Second, the Maple 8 PE performance bifurcation in 2025 (CPPIB, PSP, HOOPP positive; OTPP, OMERS, La Caisse negative or sub-benchmark) is reshaping LP allocations. Northleaf’s CAD 750 million CPPIB commitment in March 2026 demonstrates that even CPPIB, the largest direct PE deployer, is willing to fund specialist managers instead of additional internal headcount. For Canadian LMM sponsors, the practical effect is that 2026 to 2027 LP capital allocations are likely to favour managers with operational track records (Fulcrum, Tricor Pacific, Walter Capital, Persistence Capital), specialist sector focus (Persistence Capital in healthcare), and clear LMM positioning rather than mid-market sponsors trying to compete with the Maple 8 directly.

The Sagard / Unigestion combination is the highest-impact 2025 strategic pivot. Power Corporation’s flagship PE vehicle previously sat as one of the most defensible Canadian LMM-to-mid-market sponsors. By combining with Unigestion and targeting USD 100 billion AUM by 2029, Sagard has signalled a structural move toward globally diversified mid-market and away from pure-Canadian LMM. For founder-sellers, this reduces the number of in-country true LMM sponsor candidates by one and elevates the value of the remaining pure-LMM Canadian sponsors (Walter Capital, Clearspring, Persistence Capital, Imperial Capital, Fulcrum, Tricor Pacific, Kilmer, Banyan, Roynat) as the durable Canadian home-market buyer cohort. Confidence: HIGH on dynamics; MEDIUM on precise allocation timing.

18. Seller-fit matrix

For founders and family owners evaluating a Canadian PE process, the seller-fit matrix below maps typical platform profiles to the most likely sponsor cohort. This is a directional tool, not a substitute for advisor counsel.

Founder rollover norms reflect the typical equity continuation that sponsors expect from existing owners across the cycle. Tighter rollover (above 35 percent) typically signals a buy-and-build platform launch where founder continuity is essential to multi-year growth. Lower rollover (below 15 percent) typically signals a full exit or restructuring scenario. Confidence: MEDIUM (process pace and rollover norms are cycle-dependent).

19. Limitations and gap disclosures

The CT Acquisitions research desk applies confidence ratings transparently. The following items in this tracker have not been verified to primary-source HIGH confidence and should be treated with corresponding caution in client materials.

1. ATCO Holdings sale to CC Capital plus ATCO Buyout July 2026. Not verified. ATCO Ltd remains a publicly listed company (TSX: ACO.X) as of the cutoff; no CC Capital take-private deal was confirmed in available primary sources. Treated as GAP and flagged for monitoring.
2. “Brookfield Reinsurance IPO September 2025.” Not verified as a 2025 event. Brookfield Reinsurance was spun out of Brookfield Asset Management on June 28, 2021, and has since renamed to Brookfield Wealth Solutions (NYSE: BNT). The reference may conflate the 2021 spin-out with the October 2025 BPE-CAD evergreen launch or with Brookfield Wealth Solutions corporate activity. Confidence: GAP.
3. Vanguard Mortgage to Sagard August 2024 transaction. Not verified in available sources. Sagard’s confirmed 2024 to 2025 activity includes the Unigestion combination and the retail PE fund launch; no Vanguard Mortgage transaction was found. Confidence: GAP.
4. “Imperial Capital Group (Bevan family)” attribution. Some secondary commentary associates Imperial Capital Group with the Bevan family. Primary research confirms Imperial Capital was co-founded in 1989 and Jeff Rosenthal is a confirmed Managing Partner and co-founder. No “Bevan family” association is verifiable. The reference may reflect confusion with another Canadian PE family office. Confidence: LOW.
5. “Vistex Capital Partners”. No Canadian PE firm with this exact name was confirmed. The reference may reflect a misnaming of Vistance Capital, Vistria Group (US), or another sponsor. Excluded from the sponsor master table. Confidence: GAP.
6. Tricor Pacific Capital ownership family name. Confirmed Vancouver-based and family-owned since 1996, but the specific family name was not independently verified at primary-source HIGH confidence. Confidence: MEDIUM.
7. “Foray Capital,” “Insignia Capital Partners,” “Mosaic Capital,” “Caisse alimentaire” Canadian PE activity. Limited verifiable 2024 to 2026 Canadian LMM PE activity found in primary sources for these sponsors. Insignia Capital Partners is a US sponsor not specifically Canadian-focused. Confidence: LOW.
8. Power Sustainable distinct PE arm. Power Corp’s PE exposure flows primarily through Sagard rather than a distinct Power Sustainable PE arm; Power Sustainable is more focused on sustainability infrastructure, renewables, and agri-food. Confidence: MEDIUM.
9. Northleaf Fund VII vintage and size. Not specifically named in fundraising disclosures within the cut window. Northleaf’s PE deployment is mostly via fund-of-funds and co-invest channels, plus the dedicated secondaries platform. The CAD 750 million CPPIB March 2026 commitment is confirmed; the underlying Northleaf fund vintage is not. Confidence: MEDIUM.
10. OMERS Private Equity specific 2025 deals. OMERS PE underperformed at negative 2.5 percent in 2025; specific deal-level detail beyond aggregate AUM was thin in primary sources. Confidence: MEDIUM.
11. Specific Canadian LMM EBITDA multiple bands. No CVCA, KPMG Canada, or Deloitte Canada publication providing Canadian-specific LMM EBITDA multiple bands was located. Bands in Section 14 are inferred from US LMM data adjusted for the Bay Street versus Wall Street structural gap. Confidence: MEDIUM.
12. Hudson’s Bay insolvency distressed M&A statistics. Referenced via OTPP real-estate book impact but full distressed M&A statistics for 2024 to 2025 were not pulled. Confidence: LOW.
13. Section 8 master sponsor table cell-level data. AUM, fund sizes, and EBITDA bands reflect the most recent disclosed values at cut date. Sponsors raising new funds within the window may have updated numbers not yet disclosed. Confidence: HIGH on inclusion; MEDIUM on freshness of cell-level numbers.

20. Related CT Acquisitions research

• Australia PE buyer market, 2026 update. Wave 6 sibling tracker drafted in parallel to this Canada tracker, covering Australian LMM sponsors and the super fund direct PE dynamics that mirror the Maple 8 crowding effect.
• European PE buyer market, 2026 update. Companion master tracker covering EU mega-cap and pan-European PE buyers active in 2024 to 2026.
• UK PE buyer market, 2026 update. Wave 5 sibling covering UK middle-market and lower middle market sponsors.
• DACH PE buyer market, 2026 update. Wave 5 sibling covering Germany, Austria, and Switzerland sponsors.
• Nordics PE buyer market, 2026 update. Wave 5 sibling covering Sweden, Norway, Denmark, and Finland sponsors.
• Benelux PE buyer market, 2026 update. Wave 5 sibling covering Belgium, the Netherlands, and Luxembourg sponsors.
• France PE buyer market, 2026 update. Wave 5 sibling covering French sponsors.
• CT Acquisitions Platform Map. Global view of active sponsors and roll-up platforms across CT research coverage.

21. Sources

Primary regulatory and policy sources

• Canada.ca capital gains deferral notice (January 31, 2025)
• Scotia Wealth analysis on cancellation (March 21, 2025)
• Miller Thomson on deferral
• PwC 2025 federal budget analysis
• Doane Grant Thornton on Canadian Entrepreneurs’ Incentive cancellation
• CRA bare trust guidance 2026
• Investment Executive on 2025 bare trust exemption
• Baker McKenzie 2025 ICA threshold confirmation
• Osler ICA and Competition Act Quick Reference 2025
• TransPerfect on Quebec Bill 96 (June 1, 2025 changes)
• CFIB on Quebec Law 14 / Bill 96

Industry and AUM data

• CVCA Year-End 2025 report
• CVCA H1 2025 PE Market Overview PDF
• CVCA Year-End 2024 report
• Fasken summary on CVCA Year-End 2024

Maple 8 fiscal results

• CPP Investments F25 release
• CPP Investments F26 release
• La Caisse 2025 results
• OTPP 2025 results
• Globe and Mail on OTPP 2025
• PSP Investments F25 results
• OMERS 2025 results
• HOOPP 2025 commentary
• BCI F25 results

Mega-cap Canadian sponsor sources

• Brookfield Q4 2025 earnings call transcript
• Brookfield BPE-CAD launch release
• Onex 2025 Annual Report PDF
• Bloomberg on Sagard USD 100B AUM target
• Globe and Mail on Sagard Unigestion combination
• Bloomberg on Novacap digital infrastructure fund
• Globe and Mail on Novacap TMT VI close
• Birch Hill Equity Partners
• TorQuest Waste Solutions Canada release
• Penfund Prime close release
• Altas Partners

LMM-specialist Canadian sponsor sources

• Walter Capital
• BCF on Walter MARTINS deal
• Persistence Capital
• Morgan Stanley on MedSpa Partners II close
• Imperial Capital Group
• Tracxn Imperial Capital profile
• Tricor Pacific
• Clearspring Capital
• Fulcrum Capital
• Northleaf PE
• Northleaf Mackenzie launch
• The Logic on Northleaf secondary fund
• PE Hub on Dawson predecessor fundraising
• The Middle Market on Dawson rebrand
• Kilmer Capital
• Banyan Capital
• Roynat Capital
• Investissement Quebec publications

International sponsor and headline deal sources

• Paul Weiss memo on Nuvei Advent take-private
• BetaKit on Nuvei Advent deal
• Bain Capital news index
• CNN on Couche-Tard withdrawal
• Couche-Tard March 2025 update
• MNP Q3 2025 oilfield services update (STEP / ARC Financial)
• MNP Q4 2025 update (Cenovus / MEG)

Multiples and benchmarking sources

• CapitalPad on LMM PE statistics
• QuantPillar 2025 to 2026 valuation multiples
• KMCO Q1 2025 multiples report

Succession demographics

• Talent Canada on succession gap
• MNP via On-Site Magazine on 64.1 percent unformalised exit

22. FAQ

Who are the most active Canadian lower middle market PE sponsors in 2024 to 2026?

The most active Canadian LMM-specialist sponsors are Fulcrum Capital Partners (CAD 10 to 35 million equity tickets in companies up to CAD 250 million revenue), Tricor Pacific Capital (CAD 25 to 250 million EV, western Canadian focus), Walter Capital Partners (Quebec-tilted mid-sized companies), Clearspring Capital Partners (CAD 20 to 50 million equity cheques, Quebec-heavy), Imperial Capital Group (Canadian and US mid-market), Persistence Capital Partners (Canadian healthcare only), Kilmer Capital Partners, Banyan Capital Partners, and Roynat Capital (junior debt and equity). Above the LMM band, the mega-cap Canadian roster includes Birch Hill Equity Partners (Fund VII CAD 2.6 billion), TorQuest Partners (Fund VI CAD 2.27 billion), ONEX, Brookfield Asset Management, Sagard, Novacap (TMT VI USD 3.8 billion February 2026), Penfund, and Altas Partners.

How big was Canadian PE deal flow in 2024 and 2025?

CVCA reported CAD 27.7 billion of PE invested across 669 deals in 2024 (with Q4 2024 alone accounting for CAD 15.4 billion, 56 percent of the year) and CAD 57.5 billion across 592 deals in 2025. H1 2025 alone delivered CAD 30.85 billion across 322 deals, a 258 percent year-over-year capital increase, and already exceeded the full-year 2024 figure.

What happened with the Canadian capital gains inclusion rate?

The 2024 federal budget proposed raising the rate from 50 percent to 66.67 percent effective June 25, 2024 on individual gains above CAD 250,000 and on all corporate and trust gains. On January 31, 2025, the federal government deferred the change to January 1, 2026. On March 21, 2025, the government cancelled the increase outright. The two-step reversal distorted 2024 deal timing and concentrated 65 percent of full-year 2024 PE dollars into Q4.

What is the Canadian Entrepreneurs’ Incentive and why was it cancelled?

The Canadian Entrepreneurs’ Incentive (CEI) was originally proposed in the 2024 federal budget as a reduced one-third inclusion rate on up to CAD 2 million of lifetime eligible capital gains for founder-sellers of qualified small business corporation shares. The CEI was cancelled by the November 4, 2025 federal budget. The cancellation removed a planned tax sweetener that PE sponsors had been pricing into 2024 LOIs.

How do Maple 8 pension funds compete with PE sponsors on Canadian deals?

The Maple 8 (CPP Investments, La Caisse, OTPP, PSP, OMERS, HOOPP, BCI) collectively control CAD 2.43 trillion-plus of net assets and deployed CAD 50 billion-plus in direct PE in 2024 to 2025. They typically accept 12 to 16 percent net IRR versus PE’s 18 to 25 percent, accept 10 to 15 year holds versus PE’s 5 to 7 years, and compete on every CAD 100 million-plus EV process. The structural effect is to compress Canadian LMM-to-mid-market multiple expansion by 0.5 to 1.0 turns of EBITDA at the CAD 100 million to CAD 500 million enterprise value band versus US peer groups.

Why has Quebec become the highest-volume Canadian LMM PE province?

CVCA H1 2025 data shows Quebec at 192 PE deals versus Ontario’s 74, a 2.6x deal-count lead. Quebec dollars (CAD 18.3 billion) also exceeded Ontario (CAD 12.5 billion). Drivers: Novacap (Brossard, Quebec, CAD 11 billion AUM), Walter Capital (Westmount, Montreal), Clearspring Capital (Toronto with Quebec-heavy portfolio), Persistence Capital Partners (Montreal healthcare specialist), Investissement Quebec, and the La Caisse co-invest channel.

How does Quebec Bill 96 affect cross-border PE deals?

Bill 96 (Law 14) lowered the OQLF mandatory francisation threshold to businesses with 25 or more employees effective June 1, 2025. Adhesion contracts must be presented in French first. First-offence fines rose from CAD 3,000 to CAD 30,000, with potential to triple to CAD 100,000. For US sponsors acquiring Quebec LMM targets, post-close translation, signage, employee contract, and software localisation budgets run CAD 200,000 to CAD 500,000. Quebec-domiciled sponsors run a cost-advantaged auction process versus Toronto and US bidders.

What are the Investment Canada Act 2025 review thresholds?

For 2025 the Director of Investments confirmed thresholds at CAD 551 million on book value of assets for WTO state-owned enterprises, CAD 1.386 billion on enterprise value for private investors from WTO states, CAD 2.079 billion on enterprise value for private investors from trade-agreement countries, and CAD 5 million / CAD 50 million on book value for non-WTO investors or Canadian cultural businesses. For LMM deals under CAD 250 million EV, ICA notification (not review) is the operative regime; national-security reviews remain triggerable below the thresholds at the Minister’s discretion.

What is the Bay Street versus Wall Street multiple gap?

TSX Venture and TSX small-cap multiples have trailed Russell 2000 small-cap multiples by a sustained 1 to 2 turns of EBITDA through 2024 to 2025. Drivers: smaller domestic buyer universe, lower analyst coverage, fewer cross-listed Canadian small-caps, lower retail trading volume, and lower-conviction US LP exposure to Canadian targets. The gap creates a take-private arbitrage (Advent / Nuvei 56 percent premium, ARC / STEP 29 percent premium) but caps LMM PE exit multiples for any Canadian-only sale process.

What was the Nuvei Advent take-private and why does it matter?

Advent International announced the take-private of Nuvei on April 1, 2024 at USD 34.00 per share (56 percent premium), enterprise value USD 6.3 billion. Closing November 15, 2024; TSX delist November 18; Nasdaq delist November 25. Existing Canadian shareholders Philip Fayer, Novacap, and CDPQ supported the transaction and remained as continuing shareholders. CPP Investments contributed US 180 million on the take-private side. Nuvei is the benchmark Canadian PE take-private of the period and reset Canadian fintech valuation comps.

How does the Sagard Unigestion combination change Canadian PE?

Sagard’s September 2025 combination with Geneva-based Unigestion built a USD 23 billion mid-market PE platform; Sagard is targeting USD 100 billion total AUM by 2029. The combination signals Power Corporation’s strategic shift away from Canada-only LMM positioning toward a globally diversified mid-market manager. For Canadian founder-sellers, this reduces the number of in-country mid-market sponsor candidates with native Canadian decision-making and elevates the importance of specialist LMM-only sponsors (Walter, Clearspring, Persistence, Imperial, Birch Hill, TorQuest, Fulcrum, Tricor Pacific) as the remaining true Canadian LMM home-market buyers.

Who are the most active international sponsors in Canada 2024 to 2026?

Advent International (Nuvei take-private USD 6.3 billion November 2024) is the headline cross-border buyer of the period. Bain Capital was active on PowerSchool (October 2024, Canadian-relevant) and the Seven and i supermarket business agreement (March 2025). L Catterton has three historical Canadian acquisitions with consumer focus. KKR, TPG, Apollo, Blackstone, Berkshire Partners, HIG Capital, and Audax all have active Canada mandates with limited disclosed pure-Canadian LMM deals in the cut window.

23. About the author

This tracker was prepared by the CT Acquisitions research desk, which produces market trackers, sponsor maps, and sector consolidation studies for institutional sell-side clients in North America, Europe, and Asia-Pacific. CT Acquisitions is independent of any sponsor or LP and applies a transparent confidence-rating methodology to every cell of every tracker. Material flagged HIGH carries primary-source confirmation. Material flagged MEDIUM carries strong secondary-source confirmation. Material flagged LOW or GAP requires further verification before client use.

For client questions on this tracker, sponsor introductions, or sector consolidation analysis, contact the CT Acquisitions research desk via the contact form at ctacquisitions.com/contact. Last updated: June 18, 2026.