BDC Capital launches $200 million Deep Tech Venture Fund

Seed and series A investments to be made in quantum, electronics, photonics and related sectors

Montreal, May 5, 2021 – BDC Capital today announces the creation of a new venture capital fund to invest in early-stage deep tech companies within Canada. The $200 million will be used to accelerate the development of transformational technologies in a number of sectors including quantum, electronics, photonics, foundational AI and related fields.

“BDC Capital is proud to be a trailblazer for investing in Canada’s transformative technologies. These have high potential for growth and are of strategic importance for Canada,” said Jérôme Nycz, Executive Vice President at BDC Capital. “Our hope is to further cultivate Canada’s leadership position in these nascent industries by empowering talented entrepreneurs and engaging other like-minded stakeholders.”

Thomas Park, formerly BDC Capital’s Vice President, Operations and Strategy, will lead the Fund as Partner. He has extensive experience in venture capital, including multiple roles within BDC, and an in-depth understanding of the opportunity deep tech presents to investors, businesses, governments, and entrepreneurs alike.

“Our vision for the Fund is to help address a critical gap in the Canadian technology landscape. To commercialize and scale Canada’s world-class research in sectors like quantum technology and photonics, and develop new domestic tech champions,” added Park.

Canada has historically been a leader in deep tech, thanks in large part to the cutting-edge research taking place within its borders. Today, as other nations ramp up investment and IP protections in deep tech, Canadian start-ups require greater access to early-stage funding in order to protect their research and innovations, ensuring that these strategically valuable industries thrive here at home. BDC’s unique offering will support these companies by providing access to equity financing and a range of other funding options, technical expertise, insights on their specific segments as well as facilitating market entry.

“By launching this $200 million Deep Tech Venture Fund, BDC Capital is helping to lay the foundation for these new and emerging industries to thrive and scale here in Canada,” said Kim Furlong, CEO, Canadian Venture Capital and Private Equity Association (CVCA). “This underscores the importance of venture capital’s role in supporting Canada’s long-term economic growth.”

“BDC Capital has helped establish a robust and thriving venture capital market in Canadian tech,” said the Honourable Mary Ng, Minister of Small Business, Export Promotion and International Trade and the Minister responsible for BDC. “Its Deep Tech Venture Fund will continue to build on that by providing critical risk capital to promising start-ups so they can scale up their operations, expand to global markets and create good jobs, contributing to Canada’s recovery from the COVID-19 pandemic and to long-term growth.”

About BDC Capital

BDC Capital is the investment arm of BDC, the bank for Canadian entrepreneurs. With over $3 billion under management, BDC Capital serves as a strategic partner to the country’s most innovative firms. It offers businesses a full spectrum of capital, from seed investments to growth equity, supporting Canadian entrepreneurs who have the ambition to stand out on the world stage. Visit bdc.ca/capital.

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