OTTAWA, May 22, 2012 /CNW/ - Export Development Canada (EDC) today announced a CAD 25 million commitment to Celtic House Venture Partners (Celtic House) Fund IV, a venture capital fund focused on establishing and building early-stage companies in the Canadian information and communications-technology sector.
"EDC's interest in this fund stems from its export potential, supporting companies in subsectors where Canada has the technical and management depth to compete globally," said Paul Day, Vice-President, Investments, EDC.
"The subsectors offer a balanced array of niche and broad markets, in areas such as video processing, data centre technologies, financial services, nanotechnology and optics, and wireless and mobility, offering the potential for export growth across many markets."
EDC's CAD 25 million commitment was part of a CAD 105 million closing for the fund, which included institutional investors like the Ontario Venture Capital Fund, Teralys Capital, and BDC Venture Capital.
"We are pleased to have EDC as part of our lead group of investors in the first close of Fund IV," said David Adderley, Partner at Celtic House.
"Celtic House has a longstanding relationship with EDC, both as a co-investor in ViXS Systems and financial partner to our portfolio companies. We expect Fund IV to take full advantage of EDC's capabilities and international network. EDC's commitment, along with that of our other institutional investors, will ensure that Celtic House remains one of Canada's most active investors in private technology companies."
EDC's Investments Program focuses on two groups of companies: small- and mid-sized companies that want to grow their business by going global; and "next generation" exporters - those technology companies that were born global by virtue of their product, but need capital and assistance to develop and garner international success. Both groups face gaps in financing, networking and experience. EDC's participation as a partner in equity fund structures, managed by experienced commercial players, helps bridge those gaps.
As of December 31, 2011, investments over the life of the EDC Equity Program have reached a total of CAD 694 million in commitments, including CAD 320 million of commitments to next-generation exporters; CAD 120 million of commitments to mid-market exporters; and CAD 254 million of commitments focused on connecting with emerging markets.
About Celtic House Venture Partners
Celtic House Venture Partners is an independent Canadian investment firm. Since 1994, Celtic House has been one of Canada's most active investors in technology and innovation. Capitalizing on the deep domain expertise of its partners, Celtic House has consistently provided superior financial returns to its investors. Celtic House has collaborated with management teams and repeat entrepreneurs to develop technology companies from the inception phase through to exit, generating over 20 initial public offerings and successful acquisitions. From offices in Toronto, Montréal and Ottawa, Celtic House manages over $425 million across three funds. For more information, visit www.celtic-house.com.
EDC is Canada's export credit agency, offering innovative commercial solutions to help Canadian exporters and investors expand their international business. EDC's knowledge and partnerships are used by more than 7,700 Canadian companies and their global customers in up to 200 markets worldwide each year. EDC is financially self-sustaining and a recognized leader in financial reporting and economic analysis.
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