MONTREAL, May 28, 2012 /CNW Telbec/ - BDC Venture Capital confirms that it has provided $20 million of the $150 million raised by TVM Capital for the new Canadian life science venture capital fund unveiled today. BDC Venture Capital's commitment is the third largest in the fund, after Teralys Capital and Eli Lilly's investments. This is the second fund which invests in Canadian life science companies that BDC has backed in the last two months and the fifth one in which it now holds a position.
"These investments are part of our strategy to spur the entrepreneurial growth of industries vital to Canada's long term economic well-being," says Jean-René Halde, BDC's President and CEO, who participated in the new fund's unveiling. "Canadians excel in life sciences, as they do in IT and cleantech for instance, and more of them can become players on the world stage if we give them better access to financing to back their growth."
In March, BDC Venture Capital injected $20 million in the first closing of Lumira Capital II, another life science fund. During the next five years, the TVM and Lumira funds expect to invest in a total of 30 new companies, which they will continue to support strongly over the following years as they mature and become global leaders in their fields.
Today's announcement brings to $103 million the amount BDC Venture Capital has earmarked in the last six months for innovative Canadian companies via independent venture funds. Last week, it announced a combined $63-million investment in three information technology funds.
Working closely with BDC Venture Capital to create the new funds were several co-investors, including Quebec's Teralys Capital, for whom BDC's participation was critical. "Without BDC as a key investor, none of these five recent funds would have closed, and the long-term economic benefits of 70 potential young companies would not have been gained," says Jacques Bernier, Managing Director of Teralys Capital. "Teralys and the BDC share a common goal of re-energizing and enhancing our venture capital ecosystems in Quebec and Canada."
Besides IT and life sciences, BDC Venture Capital also invests in funds that specialize in energy and clean technology. Since 2001, it has invested over $400 million in 25 funds across all these sectors.
About BDC Venture Capital
BDC Venture Capital is a major venture capital investor in Canada with more than $1 billion in current and planned investments. It is active at every stage of the company's development cycle, from seed through expansion, with a focus on innovative technology-based Canadian companies that have high growth potential, offer unique products or services and that are positioned to become dominant players in their market. BDC VC invests both directly into companies and indirectly into promising VC funds. Its investments are made primarily into companies involved in the areas of Energy/Cleantech, Health and Information Technology. In addition, through strategic initiatives and investments, it plays a unique role in stimulating both the Canadian venture capital industry and the surrounding innovation ecosystem, including leading efforts in entrepreneur and angel investor development. Visit www.bdc.ca for more information.
Canada's business development bank, BDC, puts entrepreneurs first. With almost 1,900 employees and more than 100 business centres across the country, BDC offers financing, subordinate financing, venture capital and consulting services to 29,000 small and medium-sized companies. Their success is vital to Canada's economic prosperity. www.bdc.ca
For further information:
Advisor, Public Relations, BDC