CDPQ steps up seed funds to help Quebec startups

Institutional investor will provide an additional $50 million to seed funds

CDPQ steps up seed funds to help Quebec startups
Steve Randall

Seed funds that help new, innovative companies are in line for a $50 million investment from La Caisse de dépôt et placement du Québec (CDPQ).

The institutional investor has announced a $50 million investment in Quebec seed funds. CDPQ has been increasing its involvement in venture capital funds in the province over the past five years including seed funds such as Anges Québec Capital, InnovExport and Real Ventures.

“Without a rich and dynamic startup ecosystem, there is a risk of considerably fewer quality investment opportunities in the subsequent growth and maturity phases, especially in disruptive niches,” said Charles Émond, CDPQ’s Executive Vice-President and Head of Québec Investments and Global Strategic Planning. “It is therefore key to invest at the very start, when companies are created, and then monitor their progress over time.”

Support mandate
The investment that CDPQ is making in seed funds is combined with a mandate to support the professionalism of the seed fund industry in Quebec and ensure the adoption of best practices.

CDPQ has mandated Teralys, with its deep knowledge of the Québec venture capital ecosystem, to manage the provision of support to seed funds.

Éric Legault, Managing Partner at Teralys Capital said that CDPQ’s announcement fits with his own firm’s desire to help support entrepreneurship in Quebec through support and high added value.

“We are proud of CDPQ’s renewed confidence, which over the last ten years has allowed Teralys Capital to build the largest Canadian investor specialized in innovation right here in Montréal,” he said.