Alberta Enterprise invests in third local angel co-investment fund

Alberta Enterprise has committed C$10 million to a third early-stage angel co-investment fund, Accelerate Fund III.

Alberta Enterprise has committed C$10 million to a third early-stage angel co-investment fund, Accelerate Fund III. The fund, managed by Canadian private equity firm Yaletown Partners with the support of the A100, an angel investor network, will back Alberta-based technology startups.

PRESS RELEASE

EDMONTON, May 20, 2020 — Alberta Enterprise announced today that it has launched a third early-stage angel co-investment fund, Accelerate Fund III, with a $10 million investment. Building on the success of the Accelerate Fund program started in 2012, Accelerate Fund III will provide Alberta technology entrepreneurs with a continued source of startup capital. Accelerate Fund III will be managed by Yaletown Partners with the support of The A100, the same investment team that oversaw Fund II.

“We are seeing more investable early stage companies than ever in Alberta, along with more private investors interested in participating with the Accelerate Fund,” said Arden Tse, Investment Manager Accelerate Fund III, Yaletown Partners. “As our technology sector grows, so does the vision for Accelerate Fund III. We seek to invest in a dozen or more Alberta startups around the Province, and we are honoured to continue our efforts as fund managers.”

The Accelerate series of funds was established by Alberta Enterprise Corporation to encourage more private capital investment into Alberta’s emerging technology sector. For startups to access Accelerate Fund investment, there needs to be private angel investors willing to join inthe investment round. The aim of the fund is to provide capital to Alberta technology startups at an early and critical stage of their growth, so that they may expand their revenues and expand their teams beyond having a product in market and some early customers. The fund managers look for companies concentrated in the sectors of information and communication technology, clean and energy technology, life sciences, as well as agriculture and biotech.

For every dollar invested into Alberta startups with Accelerate Fund II, almost three times that amount has been invested by matching angel funds. Of the companies who received Fund II investment in the last three years, already one has successfully exited, another has received significant follow on investment, and several others are at a point of growth where they are planning their next round of fundraising.

“We are excited to announce Accelerate Fund III, especially at such a moment of economic and global health uncertainty,” commented Kristina Williams, CEO Alberta Enterprise Corporation. “The fund is a great early-stage capital resource for the rapidly-growing Alberta tech sector. With this latest deployment of capital, we invite early stage tech companies to stay and grow here, and to expand Alberta’s technology jobs and innovation.”

Talking about the Fund III launch, David Edmonds from The A100 said, “We are happy to continue working with Alberta Enterprise and Yaletown to inspire and help to grow Alberta’s technology entrepreneurs. We are continuing to see our tech community mature and expand and we foresee a burgeoning tech sector across the province. The A100 and its members are committed to continuing to work in the community providing advice, mentoring, and coaching to help early-stage technology companies through various phases of their growth.”

For more information about Accelerate Fund III or to pitch for capital contact info@acceleratefund.ca.

About Accelerate Fund III: www.acceleratefund.ca
Accelerate Fund III is an early-stage angel co-investment fund in Alberta. We co-invest alongside angel investors in financing rounds and will typically invest up to $500,000 on the same terms and conditions as private investors. We work with formal angel groups, super-angels, family funds, and individual angel investors. Accelerate Fund III invests in private, early-stage Alberta companies in knowledge-based industries including: information and communications technology, clean and energy technology, as well as life sciences, including agriculture and biotech.

About Alberta Enterprise Corporation: www.alberta-enterprise.ca
Alberta Enterprise Corporation promotes the development of Alberta’s venture capital industry by investing in venture capital funds that finance early-stage technology companies. We focus on funds that have a strong commitment to Alberta – including a full-time presence in the province. In addition to capital, we support Alberta’s venture capital ecosystem by connecting investors, entrepreneurs, and experienced technology executives who share our passion for building a bright, innovative Alberta. Since our inception we have committed C$198 million for investment to seventeen VC funds and the Accelerate Funds I, II and III, covering a diverse range of forward-looking industries including clean and energy technologies, information and communications technologies, life sciences, and agriculture and food.

About Yaletown Partners: www.yaletown.com
Yaletown Partners is a leading Canadian investor dedicated to closing the scale-up capital gap and focused on the Intelligent Industry opportunity. We invest in emerging-growth companies that enhance sustainability and productivity for industrial and enterprise customers. Our investments enable the application of data and technologies to digitally transform traditional industries, drive innovation, create operational efficiencies and reduce the impact of climate change. In 2017, Yaletown received the CVCA’s Venture Capital Deal of the Year award for its investment in BitStew, Canada’s largest venture financed exit of 2016. Backed by leading institutional investors, including pension funds, and a network of successful technology entrepreneurs, Yaletown has offices in Vancouver, Calgary, Toronto and Montreal.

About The A100: www.theA100.org
The A100 is a non-profit, member-funded organization of “been there, done that” tech entrepreneurs and executives. The group is dedicated to helping Alberta’s next generation of innovative start-ups become successful. Formed by a group of industry pioneers who have been tied to many of Alberta’s technology success stories, the organization now has more than 80 members across the province.