brad meikle
Canadian route optimization platform Routific has received an undisclosed seed investment that brings its total funding to $1.2 million. The latest round was led by Pallasite Ventures, a Canadian venture capital firm. The company's other investors include U.S. venture capital firm FireStarter Fund. Founded in 2012, Vancouver-based Routific has developed smart logistics software that optimizes routes for last-mile delivery fleets, saving businesses up to 40 percent on time and fuel. In 2015, the company showed revenue growth of 890 percent and signed its first major enterprise deal, Routific reported. It plans to use its funding to continue expanding operations.
The Fonds de solidarité FTQ was Canada's most active public non-governmental venture capital firm in 2015, according to data released by the Canadian Venture Capital and Private Equity Association (CVCA), accounting for 20 financings. The Fonds was also ranked as the second most active private equity investor in Canada last year, accounting for 53 deals. Based in Montréal, the Fonds held net assets of $11.2 billion as of November 2015. Its venture and private equity strategy reflects a mix of both direct and fund investments.
Canadian lending marketplace Borrowell has secured $6.4 million of operating and loan capital. The investors included Equitable Bank, Hedgewood, Power Financial Corp, Oakwest Corp, Adam Felesky, the former head of Horizons ETFs, and Freycinet Investments. The raise, which adds to the company's seed round of December 2014, brings its total funding to $11.8 million. Based in Toronto, Borrowell offers fixed-interest loans to Canadians through a wholly online system. Since its launch last March, it has processed over $500 million in loan applications, the company reported. Borrowell plans to use the proceeds of its latest investment to accelerate growth.
Capital régional et coopératif Desjardins (CRCD), a retail fund managed by Canadian private equity firm Desjardins Capital de risque, generated net income of $74.8 million in 2015 for an annual return of 4.9 percent. As a result, net assets rose to more than $1.6 billion at the end of December. CRCD, which is celebrating its 15th year of operation, said it has supported the growth of 402 companies. Last year alone, the fund reported a total of $173 million in new commitments going to Québec-based startups, expansion projects, mature companies and business transfers.
Canadian early-stage venture capital firm Brightspark Ventures has unveiled a curated investment platform available exclusively to domestic accredited investors. The investment model, the first of its kind in Canada according to Brightspark, will invest in five to seven technology companies annually. Brightspark is being backed in its initiative by Kensington Venture Fund, a venture fund of funds managed by alternative assets investor Kensington Capital Partners, as well as investors in Brightspark's network. Founded in 1999, Brightspark is led by Managing Partners Mark Skapinker and Sophie Forest.
Sustainable Development Technology Canada (SDTC) has begun a new funding process for Canadian clean technology development and demonstration projects. Its two venture capital funds, SD Tech Fund and SD Natural Gas Fund, have opened up for applications through to April 13, 2016. SDTC, a foundation funded by the Canadian government, has a portfolio comprised of 285 clean technology projects representing an investment of over $740 million and a market capitalization of over $2 billion.
Victoria, B.C.-based cybersecurity company HYAS Infosec Inc has secured undisclosed seed financing led by Wesley Clover International, a Canadian angel investment firm. Founded in 2014, HYAS provides cloud-based cyber-threat intelligence and protection services for the original equipment manufacturer, enterprise, small business and consumer markets. Chris Davis, the company's founder and CTO, said the proceeds of the round would be used to increase research investment, as well as further market development activities. Wesley Clover is led by Canadian serial entrepreneur Terry Mathews.
Canadian online web development school Talentbuddy has been acquired by Udemy, a San Francisco-based marketplace for teaching and learning online. No financial terms were disclosed. Founded in 2013, Vancouver-based Talentbuddy has helped more than 45,000 developers learn to create complex web applications. The company was backed by Canadian venture capital firms Version One Ventures and BDC Capital, Canadian accelerator HIGHLINE, and others. Udemy, which was founded in 2010, is also venture-funded. Last year, it raised US$65 million in a Series D financing led by Stripes Group.
Canadian venture capital firm iNovia Capital has hired Dan Freedman as a venture partner. Freedman, a former vice president, security, at McAfee Inc, has worked as an entrepreneur, founding and leading Calgary-based Jasomi Networks, an Internet telephony equipment provider, and as an investor. Most recently, he was a lead mentor at Hawaii-based accelerator Blue Startups. Located in Newport Beach, California, Freedman will be a member of iNovia's U.S.-based investment team, which covers the firm's activity in California and New York.
Canadian specialty finance firm Wellington Financial has provided a US$8.75 million credit facility to Digital Fortress Inc, a data centre operator and cloud management provider based in Seattle, Washington. Digital Fortress was formed in 2012 through the combination of two local data centres, Digital Forest and Fortress Colocation Centers. The company said it plans to use the funds provided by Wellington to continue broadening its suite of services for customers. Digital Forest is a portfolio investment of U.S. private equity firms Halyard Capital, Meritage Funds and Sweetwater Capital.