FTQ invests $7M in flooring producer Preverco
SAINT-AUGUSTIN-DE-DESMAURES, Quebec – Two public investment groups, the Fonds de solidarité FTQ and the Fonds régionaux de solidarité FTQ Québec (FRS) have jointly invested some $7 million investment in Preverco, a family-owned and operated manufacturer of solid and engineered wood flooring based here.
In a statement, the funds said that by investing in a major player like Preverco, they are increasing their presence in the wood flooring industry, which is currently undergoing consolidation. FTQ has existing investments in other Quebec flooring companies including PG Hardwood Flooring and Wickham Flooring. It has also invested in a number of furniture manufacturers including ready-to-assemble specialist Bestar, upholstery producer Jaymar and case goods maker Meubles Foliot.
FTQ said Preverso, which was founded in 1988, has fared well during the COVID-19 pandemic, thanks to major technology investments made in the past two years in its equipment and plants here as its two production facilities in Daveluyville and Boisbriand.
“More specifically, to improve its automation processes, the family business purchased state-of-the art robots. As a result of these innovations, Preverco continues to set itself apart in the industry and increase sales both in Québec and abroad,” FTQ’s statement read, adding that besides having its own sawmill, which ensures it has a constant supply of wood, Preverco is also visionary in that it was among the first in the Québec industry to pivot to engineered flooring, which today accounts for more than half of its sales.
“Right from the start, Preverco focused on staying ahead of the curve. To that end, the company created an internal R&D team to develop inspiring new products that meet the needs and tastes of a constantly changing clientele,” the investment group said.
“We would like to thank the Fonds de solidarité FTQ and the Fonds régionaux de solidarité FTQ Québec for their trust and commitment. This exceptional support will allow us to continue growing, invest in technology and keep hundreds of quality jobs in Québec,” Preverco president and chief executive officer Jean-François Duchesne remarked.
Technology transition – the core strategy of local businesses
“Technology transition allows Québec manufacturers to better face increasingly stiff global competition and take their rightful place on the international stage. Our investment in Preverco is consistent with our mission to actively contribute to the growth of SMEs that play a key role in the prosperity of our regions,” said Frédéric Bernard, FTQ regional vice president for Québec City and Chaudière-Appalaches.
“Through technological innovation, local businesses are better equipped to face the shortage of specialized labour, which is most acute in certain industry sectors and regions of Québec. Our commitment to Preverco is another opportunity for the Fonds de solidarité FTQ to invest in order to build a better society,” added FTQ vice president of investments Julie Morand.
The Fonds de solidarité FTQ is a capital development fund that channels the savings of Quebecers into investments. It has investments in some 3,329 Quebec-based companies and 707,935 shareholders-savers.
Preverso sells its product through independent and regional flooring retailers throughout Canada, including the Alexanian’s chain in Ontario.