The Ontario Capital Growth Corp. (OCGC), which manages the provincial government’s interests in some venture capital (VC) funds, is seeking fund managers to work with other institutional investors for a new $55-million Cleantech Equity Fund the agency is launching to invest in innovative, high-potential clean technology companies.
The creation of the new cleantech fund was first put forward in the province’s 2016 budget and reaffirmed in this past autumn’s economic statement. The government is hoping to attract 1.5 times its investment in the new fund from other private sector investors. Although the OCGC’s intention is to seed one fund with $55 million, the OCGC may decide to work with two or more managers or to establish two or more funds. The deadline for expressions of interest is March 13.
“Capital financing, including venture capital, is critical for innovative start-up, early-stage and expanding companies. OCGC is delighted to be playing a part in Ontario’s important clean tech sector,” says Annie Ropar, director of the OCGC, in a statement.
“We need to strengthen Ontario’s innovation ecosystem to help more high-growth companies access the risk capital they need to remain competitive in today’s global economy,” says Reza Moridi, Ontario’s minister of research, innovation and science. “This is why our government is supporting the development of new venture capital funds that will invest in cleantech companies, help create good jobs, and keep our environment clean and healthy.”