MONTREAL, Dec. 20, 2012 /CNW Telbec/ - Today, the Business Development
Bank of Canada's venture capital arm announces its commitment of $10
million to the Atlantic Canada Regional Venture Fund which is being set
up to finance start-up companies in the IT, clean energy and healthcare
sectors. This contribution by Canada's largest institutional venture
capital investor brings to approximately $50 million the total amount
committed to date by the various partners to the fund, which is now
open for business and actively seeking investment candidates throughout
the Atlantic Provinces.
"There are many great ideas in the Atlantic Provinces waiting to become
great companies", says Dominique Bélanger, a director in BDC Venture
Capital's Strategic Investments and Initiatives division, who
negotiated the deal. "And there are talented and motivated
entrepreneurs too. The Fund's job now is to find the most promising
start-ups and support their growth." The region's high-tech potential
was demonstrated recently by companies like Radian6 and Q1 Labs.
The Atlantic Canada Regional Venture Fund is a privately-managed seed
and early stage fund jointly initiated by the governments of Nova
Scotia and New Brunswick in November 2010. With its participation, BDC
VC joins the governments of Nova Scotia ($15M), New Brunswick ($15M)
and Prince Edward Island ($2.5M) as well as privately-owned Technology
Venture Corporation ($5M). Fundraising activities will continue
following the first closing of the fund in the New Year, which is
expected to be between $50- and $60-million.
Selected technology companies will be provided with funding between $1-
and $5-million to finance product development and commercialization.
The fund is especially welcome given the significant disparity between
the Atlantic region and the rest of Canada with regards to the
availability of venture capital. Mr. Bélanger adds that "the fund will
complement the current active investors in the region, as well as serve
as a co-investor of choice for out-of-region funds."
BDC Venture Capital's involvement in the Atlantic fund is part of an
aggressive strategy it has been deploying over the past two years.
Senia Rapisarda, Strategic Investments and Initiatives' Vice-president
says that "the creation and growth of tech companies is vital to
Canada's long term economic well-being." "We've been working hard with
partners from coast-to-coast to build up our ecosystems and ensure our
most promising entrepreneurs get the backing they need", she adds.
Headquartered in Halifax and led by Patrick Keefe, an experienced local
investment manager, the Atlantic Canada Regional Venture Fund will act
regionally rather than on a per-province basis. It will also go beyond
financing by offering training programs for entrepreneurs in whose
companies it invests.
About BDC Venture Capital
At BDC Venture Capital, we help great ideas become great companies. With
more than $1 billion in current and planned investments and over 25
years of experience in venture capital, we focus on innovative IT,
health and energy/clean technology companies with high growth
potential. We work with entrepreneurs and other investors in the public
and private sectors to build outstanding Canadian companies, and are
involved at every stage of the development cycle, from seed through
expansion to exit. Our goal is to deliver excellent return on our
investments, while working to create a sound financial ecosystem for
Canadian technology ventures.
SOURCE: BUSINESS DEVELOPMENT BANK OF CANADA
For further information:
Source: BDC Venture Capital
Information: Eloi Courchesne, 514-923-3564, firstname.lastname@example.org