Instar and Québec Partners Acquire Logistics Giant Groupe Somavrac

TROIS-RIVIÈRES, QC – January 07, 2026 – In a significant move to secure a cornerstone of Québec's industrial infrastructure, a consortium led by Toronto-based Instar Asset Management has acquired Groupe Somavrac, a 60-year-old logistics and infrastructure powerhouse. The partnership, which includes provincial heavyweights Investissement Québec and the Fonds de solidarité FTQ, ensures the family-founded company remains Canadian-owned and Québec-rooted, preserving over 500 jobs and its strategic role in national supply chains.

Founded in Trois-Rivières by the Paquin family, Groupe Somavrac has evolved over six decades from a local business into an indispensable operator across 17 specialized sites in Québec and Ontario. The acquisition encompasses all 12 of Somavrac's subsidiaries, with a firm commitment to maintain its head office in its founding city.

Marc Paquin, who will remain President and CEO for a transitional period to guide the company and identify his successor, emphasized the strategic nature of the decision. "Groupe Somavrac was built with a deep sense of responsibility toward our employees, our partners, and the communities we serve," said Paquin. "After careful consideration of the Company's future, we selected Instar as the right partner to build on our legacy, preserve our culture, and support our people."

A Strategic Alliance for Provincial Stability

The transaction is being hailed as a prime example of the 'Québec Inc.' model, where private capital collaborates with public and quasi-public entities to protect strategic provincial assets. The involvement of Investissement Québec (IQ) and the Fonds de solidarité FTQ, backed by the Government of Québec's Fonds de développement économique, underscores the deal's importance to the province's economic agenda.

"Now more than ever, Québec must build on the strengths of its regions to bolster its economy," stated Christine Fréchette, Minister of Economy, Innovation and Energy. "By supporting Groupe Somavrac, our government is reinforcing its decision to maintain the head office of a leading Québec company in the province... This is critical to ensuring that our economy is self-reliant and that strategic decisions continue to be made right here in Québec."

This sentiment was echoed by Investissement Québec's President and CEO, Bicha Ngo, who called Somavrac a "highly strategic player." She noted that IQ's ownership stake helps "maintain the head office in Québec, preserve numerous jobs across eight regions of the province, and support the company's growth."

The Fonds de solidarité FTQ, a development capital fund that channels the savings of Québecers into job-creating investments, views the partnership as central to its mission. "At a time of major structural change, maintaining strong supply chains in Canada is critical, and Groupe Somavrac is a key player in this important sector," said Gilles Poulin, Vice-President of Private Equity and Impact Investing at the Fonds.

Instar's Vision for Long-Term Stewardship

For Instar Asset Management, the acquisition is a strategic fit for its portfolio of essential infrastructure businesses. The private equity firm, with approximately $3 billion in equity under management, specializes in North American middle-market companies in sectors like transportation, logistics, and energy. Instar's investment thesis centers on responsible, long-term ownership rather than short-term financial engineering.

The firm's track record includes investments in transportation assets like AMPORTS, an automotive portside terminal operator, and the passenger terminal at Toronto's Billy Bishop City Airport, giving it direct experience in managing critical infrastructure aligned with Somavrac's operations.

"Groupe Somavrac is a high-quality company with a strong culture and an essential role in the Québec and Canadian economy," said Daniel Perruzza, a Partner at Instar. "We're focused on supporting the team to build on the Company's strengths, pursue new growth opportunities, and extend our shared values of respect for people, operational excellence, environmental responsibility and long-term thinking."

Instar's approach typically involves a defined playbook for value creation, focusing on operational enhancements, strategic add-on acquisitions, and integrating robust Environmental, Social, and Governance (ESG) principles. This methodology suggests a future for Somavrac that includes not only stability but also carefully managed expansion and modernization.

Securing a Critical Link in Canada's Supply Chain

Groupe Somavrac is more than just a local employer; it is a vital artery in the complex circulatory system of Canadian industry. The company provides specialized storage, handling, transportation, and chemical distribution services for foundational sectors, including mining, agriculture, pulp and paper, aluminum, and water treatment. Its network of dry and liquid bulk storage assets, particularly along the St. Lawrence Seaway, facilitates trade and supports industrial development throughout the region.

The partnership's commitment to retaining all 500 employees and the company's 12 divisions provides immediate stability to these crucial supply chains. The leadership transition, with Marc Paquin working closely with Instar to find a successor, is designed to ensure a seamless transfer of knowledge and operational continuity.

By uniting a long-term private infrastructure investor with powerful provincial economic stewards, the deal creates a robust foundation for Groupe Somavrac's next chapter. This new ownership structure aims to not only preserve a 60-year legacy but also to equip the company with the resources and strategic vision needed to navigate the evolving demands of Canada's economic landscape for decades to come.