Big investors in Canadian climate tech companies are back with a second fund for ‘low carbon tech’. Only this time, the company plans to put less money into the scene for a longer period of time.
Canada’s Business Development Bank (BDC) on Wednesday announced a new $400 million climate technology fund called “new commitments” to help build “world-class Canadian cleantech” companies.
BDC is provincially owned and established to promote economic development in Canada. The company’s most recent venture deal includes joining Samsung in a round of VueReal, which makes small, low-energy displays. And earlier this year, BDC partnered with Toyota to fund e-Zinc. e-Zinc manufactures zinc-air batteries that help power companies store renewable energy when the sun isn’t shining.
BDC launched its first climate fund in 2018, investing $600 million locally over four years. The investment corporation plans to run a second, smaller fund for his five years. climate change accelerates.
Asked about the pullback, fund management partner Susan Rohac told TechCrunch that the company is “considering a stronger market offer with more partners we can work with.”
BDC’s first fund was as big as it was then, according to Rohac, because it was created to “address the risk capital shortfall” of Canadian climate change and cleantech startups.Since then, “that every dollar of his [BDC] In parallel with or after the investment, Rohak said the investee companies had raised an additional $6 from the private sector. In other words, the company claims that a super-large initial fund will create “more private sector appetite” and clearly complement the scaled-down second act of BDC’s cleantech practice.
To date, BDC says it has funded 50 climate and cleantech companies through its funds. Government of Canada).