37.1. The Fund may, without restriction, acquire and hold any or all of the shares or other securities of a legal person
(a) whose principal activity consists in acquiring, holding or investing in mineral, oil or gas resources, in administering such resources and in developing them through third persons;
(b) whose principal activity consists in acquiring or managing investments in risk capital;
(c) whose principal activity consists in acquiring, guaranteeing and holding securitized assets and derived products, in mounting asset securitization operations, in offering, managing or distributing securitized assets or in issuing debt securities;
(d) whose principal activity consists in holding shares or other securities of a legal person described in this section, or in holding international investments, capital interests or private investments, which may include securities listed on a stock exchange, to the extent that the Fund is authorized to hold such investments directly;
(e) whose principal activity consists in acquiring, holding and administering hypothecary claims, portfolios of hypothecary claims or interests in such claims or portfolios, in addition to guaranteeing them;
(f) whose principal activity consists in investing in legal persons or entities that offer, sell or distribute financial products or services, as well as in any legal person or entity that holds or manages such legal persons or entities;
(g) whose principal activity consists in offering and providing fund management services, by engaging in any form of investment or type of investment activity;
(h) whose principal activity consists in offering and providing investment-related services with respect to funds from outside Québec, such as risk management, specific risk management, calculation of return and asset distribution.
Where the Fund holds more than 30% of their common shares, the legal persons mentioned in the first paragraph may not acquire or hold investments which the Fund may not acquire or hold under the provisions of Division IV; where all their common shares are held by the Fund, such legal persons are subject to the provisions of this Act, with the necessary modifications, except the provisions of sections 1, 2 and 5 to 13.11, Division III, Division VI and any other provision prescribed by regulation.
Where the Fund holds more than 30% of their common shares, all the legal persons to which subparagraph a of the first paragraph applies may not acquire or hold resources which represent more than 3% of its total assets.
For the purposes of section 32, the Fund shall include in its own investments the proportion attributable to it of the common shares and other securities of a legal person held by a legal person mentioned in the first paragraph where more than 30% of the common shares of that legal person are held by the Fund, or of the common shares and other securities of a legal person held by a legal person held by another legal person to which subparagraph d of the first paragraph applies and in which the Fund holds more than 30% of the common shares.
Notwithstanding the second and fourth paragraphs of this section, paragraph a of section 32 does not apply where the investment in common shares or other securities is made as part of a start-up or pre-start-up phase, to ensure or maintain operations, or to foster continuity, transition, reorganization or growth prior to a public issue. It also does not apply in respect of any new investment holding structure or fund management structure provided for by regulation. The investments made under this paragraph must be consistent with the policy established by the Fund in their regard. The investments shall be made for a period not exceeding five years and the Fund’s policy shall establish the conditions and authorizations to be obtained beyond that period. The policy and any amendment to it must be made public by the Fund within 30 days.
1992, c. 22, s. 20; 1997, c. 88, s. 12; 2004, c. 33, s. 25.