Edper Investments

Edper Investments Ltd. was the primary holding company and investment vehicle for brothers Edward Bronfman and Peter Bronfman between 1959 and 1995. At its peak in the 1980s and early 1990s, Edper was one of the largest corporate conglomerates in Canada, controlling more than 500 private and publicly traded companies in a complex structure that was estimated to be worth $100 billion, employed more than 100,000 Canadians, and comprised 15% of the total capitalization of the Toronto Stock Exchange.

Edper, whose name is an amalgam of the names of the two Toronto-based brothers, was initially financed with proceeds from their interests in the Seagram Company Ltd.. The main investments of their cousins in the Montreal-based branch were managed through their own holding company, Cemp Investments.

Edper was established in 1959 with approximately USD $15 million in proceeds from the half of their shares in Seagrams they were forced to sell by the Montreal branch of the family, who retained control. Over the following four decades, Edper grew from a family holding of shares in a single company to a vast conglomerate with a reputation for corporate takeovers in some of Canada's largest companies. Below is an outline timeline:

The ownership of Edper Investments Ltd. was held by the personal trusts of brothers Edward and Peter. Its structure changed after 1989, but for most of its existence it was owned by the private trusts of each brother. The Edper corporate empire was noted for its intricate web of ownership and control that extended from the top tier. Its organizational structure was described as "very, very complex" and "dizzying" Through careful use of labyrinthine accounting and complex strategies and corporate structures, Edper capitalized on Canada's relatively lax securities laws, tax laws, and disclosure requirements that resulted in its rapid growth into a highly complex, pyramidal empire of interwoven companies and cross-ownership. Edper controlled but did not own many companies. Privately held Edper could own a controlling stake in one public company that would hold a controlling stake in another public one that would hold a controlling stake in yet another, without having to use much of its own money. Other strategies used were cross-ownership and partial ownership of a parent company by its subsidiary and the liberal use of restricted or non-voting shares for public investors and super-voting shares for insiders. These enabled the Edper empire to raise billions of dollars without having to use much of its own money. During the Eighties boom, Bronfman-connected companies issued more securities than anyone else in Canada and raised more than $30-billion in equity. In addition to the two brothers, who were heavily involved in the management of Edper and many of its subsidiaries, there were two other men who played key roles in the Edper group's rapid expansion and management: accountant Jack Cockwell hired by the Bronfmans in the 1960s who later headed Hees International/Bancorp, Edper Equities, and Edper Investments; and Trevor Eyton, a corporate lawyer who headed Brascan Ltd. following Edper's acquisition.

...
Wikipedia