F-3.1.2 - Act to establish Fondaction, le Fonds de développement de la Confédération des syndicats nationaux pour la coopération et l’emploi

Section 19.3 Disposition versions

2024-06-01

19.3. For the purposes of section 19, the following investments are eligible investments:

(1)  investments that belong to the class of Québec enterprises, which includes

(a)  investments entailing, subject to section 19.5, no security or hypothec, made after 31 May 2024 in accordance with a comprehensive investment policy adopted by the board of directors of the Fund and approved by the Minister of Finance, each of which is

i.  an investment made by the Fund in an eligible Québec enterprise,

ii.  an investment made by the Fund otherwise than as first purchaser for the acquisition of securities issued by an eligible Québec enterprise, or

iii.  a new investment or a reinvestment made by the Fund in an enterprise it held in its portfolio at the end of 31 May 2024, where the initial investment is included in this class, and

(b)  investments of the Fund at the end of 31 May 2024, each of which is

i.  an investment described in any of subparagraphs 1, 2 and 4 to 6 of the fifth paragraph of section 19, as it read in its application to the Fund’s fiscal year ended on that date (in this section referred to as the “former version”), including an investment deemed to have been made by the Fund and described in any of those subparagraphs because of the seventh paragraph of that section, in the same version, or

ii.  an investment described in the sixth paragraph of section 19, in its former version, including an investment deemed to have been made by the Fund and described in that paragraph because of the seventh paragraph of that section, in the same version;

(2)  investments that belong to the class of Québec investment funds, which includes

(a)  investments entailing no security or hypothec and made after 31 May 2024 in accordance with the comprehensive investment policy, each of which is

i.  an investment made by the Fund in an investment fund managed in Québec, with the expectation that the fund directly or indirectly invest an amount in eligible Québec enterprises that is at least equal to the sums received from the Fund, or

ii.  a new investment or a reinvestment made by the Fund in a limited partnership or a fund it held in its portfolio at the end of 31 May 2024, where the initial investment is included in this class, and

(b)  investments of the Fund at the end of 31 May 2024, each of which is

i.  an investment described in any of subparagraphs 8 to 10, 12 and 13 of the fifth paragraph of section 19, in its former version, including an investment deemed to have been made by the Fund and described in any of those subparagraphs because of the eighth paragraph of that section, in the same version, or

ii.  an investment described in subparagraph 11 of the fifth paragraph of section 19, in its former version, including an investment deemed to have been made by the Fund and described in that subparagraph because of the seventh paragraph of that section, in the same version; and

(3)  investments that belong to the class of other interventions for the benefit of Québec, which includes

(a)  investments entailing no security or hypothec and made after 31 May 2024 in accordance with the comprehensive investment policy, each of which is

i.  an investment made by the Fund in the real estate sector in relation to a new or substantially renovated income-producing immovable situated in Québec, provided that the investment generates societal benefits for Québec in accordance with the rules set out in that respect in the comprehensive investment policy, or

ii.  an investment that is made by the Fund in an investment fund managed outside Québec and that is an investment described in the third paragraph, up to the amount invested by that fund in eligible Québec enterprises, where this section applies to a fiscal year of the Fund that is subsequent to the second fiscal year that follows the fiscal year in which that investment was made, and

(b)  investments of the Fund at the end of 31 May 2024, each of which is

i.  an investment described in subparagraph 3 of the fifth paragraph of section 19, in its former version, including an investment deemed to have been made by the Fund and described in that subparagraph because of the seventh paragraph of that section, in the same version, except an investment not permitted under the twelfth paragraph of that section, in the same version, or

ii.  an investment described in subparagraph 7 of the fifth paragraph of section 19, in its former version, including an investment deemed to have been made by the Fund and described in that subparagraph because of the seventh paragraph of that section, in the same version.

For the purposes of subparagraph ii of subparagraph a of subparagraph 1 of the first paragraph of this section and the third paragraph of section 19.4, a dealer acting as an intermediary or firm underwriter is not considered to be a first purchaser of securities.

The investment to which subparagraph ii of subparagraph a of subparagraph 3 of the first paragraph refers is either an investment that the Fund has agreed to make, at any time in a fiscal year that begins after 31 May 2024, with an investment fund managed outside Québec and for which the Fund has committed but not yet disbursed sums at the end of that fiscal year, on the condition that such an investment be taken into account to determine whether the Fund complies with the requirement of the second paragraph of section 19 for that fiscal year, or, where that condition is not met, each of the sums subsequently disbursed by the Fund because of that investment.

2024, c. 11, s. 26.