A new $300 million venture capital fund is launching in Ontario.
Premier Kathleen Wynne was at Communitech in Waterloo this morning to make the announcement. Wynne said that the provincial and the federal government have each committed up to $50 million to the fund and that it had a first closing of $217 million in total commitments.
“We want to continue to attract investments to Ontario and support our most innovative companies,” said Wynne. “Funds like these are a great tool to help companies access the capital they need to grow, create more good jobs and expand into global markets.”
The new fund aims to build on the success of the existing Ontario Venture Capital Fund, which since launching in 2008 has attracted $872 million in private sector capital while creating and retaining 1,500 jobs in the province, according to Wynne. That fund has invested in companies such as Achievers and Shopify.
“Venture capital is the lifeblood of Ontario’s high-tech economy and we’re pleased that Canada is introducing our market-based fund of funds model on a national scale,” said Reza Moridi, Minister of Research and Innovation. “The Northleaf Venture Catalyst Fund will give entrepreneurs and startups the boost they need to reach their full potential and create jobs and economic growth in Ontario.”
This new fund will be called the Northleaf Venture Catalyst Fund and will be managed by Toronto-based Northleaf Capital Partners.
“Northleaf is delighted to have been chosen to manage the new fund,” noted Jeff Pentland, Managing Director of Northleaf Capital Partners. “We look forward to implementing the fund’s long-term strategy of constructing a portfolio of high-potential venture capital funds with the scale and resources to execute their plans, support successful high-growth companies and deliver world-class returns.”