Bank announces first of $700-million in financing to high-potential cleantech innovators
MONTREAL, April 23, 2018 /CNW Telbec/ - The Business Development Bank of Canada (BDC) has concluded financing agreements totaling $40-million with four high-potential cleantech companies, enabling them to accelerate their growth and further consolidate their footprint as innovators in their respective markets.
These investments are the first of BDC's $700-million, five-year commitment to the cleantech industry announced earlier this year further to Budget 2017, and building on the Bank's long history of investing in the cleantech space. This new capital will allow BDC to take on more risk in order to help growth-oriented, high-potential Canadian cleantech companies overcome financing obstacles and other barriers to scale, and better compete globally.
The four firms being financed include:
- Ensyn Technologies – Ottawa, Ontario
- Following several years of successful commercial operations converting forest residues to renewable heating fuels at its 13 million litre/year plant in Renfrew, Ontario, Ensyn is commissioning a larger-scale renewable fuels facility in Quebec. The Quebec plant will convert forest residues to 40 million litres of renewable heating fuels per year - this will remove up to 70,000 tonnes of CO2-equivalent emissions per annum.
- BDC's financing is helping the company continue to expand its production and distribution capabilities.
- GreenMantra™ Technologies – Brantford, Ontario
- GreenMantra utilizes a proprietary thermo-catalytic system and patented process to cost-effectively convert and "up-cycle" waste plastics into high-value specialty polymers and other specialty chemicals. GreenMantra is helping drive a more circular economy where plastics are beneficially reused rather than landfilled.
- In conjunction with funding from other financial partners, BDC's support will help expand GreenMantra's plant and strengthen its competitive position as an innovative technology in the specialty chemical market.
- GHGSat – Montreal, Quebec
- GHGSat launched the world's first high-resolution satellite capable of measuring greenhouse gas (CO2 & CH4) emissions in June 2016. The company is using this unique satellite and its patented technology to provide greenhouse gas emissions monitoring data and services globally.
- In conjunction with funding from other financial partners, GHGSat will use BDC's funding to continue to execute on its growth plans and build out a satellite constellation.
- Enlighten Innovations (formerly Field Upgrading) – Calgary, Alberta
- Enlighten Innovations has developed and is commercializing a patented technology to desulphurize heavy oils, including bitumen, in order to produce lower emission marine fuels for the global shipping industry.
- BDC's financing, in conjunction with other funding and capital, will help the company build its first commercial plant, based on its successful pilot plant.
"Investing in the development of new clean technologies accelerates innovation, increases the competitiveness of Canadian firms, and creates new jobs in Canada. These investments exemplify our government's commitment to demonstrating a clean environment and a strong economy go hand-in-hand." says the Honourable Navdeep Bains, Minister of Innovation, Science and Economic Development.
"Canadian firms are leading innovation in cleantech, but face challenges in scaling up to global markets. By investing this new capital, we are looking to help our most promising companies scale into global cleantech champions," says Michael Denham, President and CEO of BDC.
"We are up and running, open for business and these four investments are just the beginning. With this expanded mandate, BDC's overarching objective is to help build a commercially sustainable cleantech industry that will, over time, be able to attract more of the necessary private sector capital to grow", says Susan Rohac, Vice President, BDC Cleantech Practice.
- In January, the Government of Canada announced BDC will invest $700 million over the next five years to grow Canada's clean technology industry. To deploy this capital, the Bank launched a national, multi-disciplinary team of investment and financing professionals 100% dedicated to cleantech.
- BDC has expanded its typical investment parameters to include firms at the early stages of commercialization that are developing potentially breakthrough clean technologies. Specific selection criteria include commercially-demonstrated technology, growth potential, and an ambition to scale up.
- BDC will also offer advisory services to portfolio companies to help them address challenges beyond financing, such as growth plans, productivity and talent issues.
For more information about BDC's cleantech initiatives and selection criteria, visit bdc.ca/cleantech.
BDC is the only bank devoted exclusively to entrepreneurs. It promotes Canadian entrepreneurship with a focus on small and medium-sized businesses. With its 118 business centres from coast to coast, BDC provides businesses in all industries with financing and advisory services. Its investment arm, BDC Capital, offers equity, venture capital, and flexible growth and transition capital solutions. BDC is also the first financial institution in Canada to receive B Corp certification. To find out more, visit bdc.ca.
SOURCE Business Development Bank of Canada
For further information: Flavie Côté, Senior Advisor, Media Relations, 1-844-625-8321, firstname.lastname@example.org