The Caisse de dépôt et placement du Québec concludes an investment of $7 million in CAD Railway Industries Ltd.

The Caisse de dépôt et placement du Québec announced that it concluded an investment of 7 million dollars in CAD Railway Industries Ltd. (CADRI), a Lachine-based company specializing in rail car and locomotive repair. The Caisse is acquiring share capital and granting a loan as part of this transaction, carried out in connection with the purchase of CADRI by a company controlled by its president and chief executive officer, Fausto C. Levy.

"This investment in CAD Railway Industries Ltd. is fully in line with the Caisse's strategy to invest in promising and successful Québec companies. The management team's expertise and vision, combined with the favourable long-term context of the rail industry, make this investment a concrete example of opportunities sought to generate a return for our depositors," explained Normand Provost, Executive Vice-President, Private Equity and Chief Operations Officer for the Caisse.

"Both myself and my management team colleagues are pleased and proud to partner with the Caisse de dépôt in this investment. In addition to bringing substantial credibility, this Québec partner is certainly in a strong position to contribute to CADRI’s development in this important period for our industry."

Founded in 1968, CAD Railway Industries is a rail car and locomotive repair facility that offers the transport industry repair, remanufacturing and upgrade services for all categories of freight, tank, locomotive and passenger cars. As part of the senior management's plan to buy out the company, CADRI's operations have been grouped together with those of Rail Action, a Québec company specialized in the distribution of locomotive parts, owned by the president and chief executive officer of CADRI.

ABOUT THE CAISSE DE DÉPÔT ET PLACEMENT DU QUÉBEC

The Caisse de dépôt et placement du Québec is a financial institution that manages funds primarily for public and private pension and insurance plans. As at December 31, 2010, it held $151.7 billion in net assets. As one of Canada’s leading institutional fund managers, the Caisse invests in major financial markets, private equity and real estate. For more information: www.cdpq.com.