Expanded criteria increases available capital from $5M to $25M
Export Development Canada (EDC) is announcing an expansion of its Investment Matching Program to better support growing Canadian small and medium-sized exporting companies. The Program, available through qualified venture capital or private equity investor(s) has expanded from matching up to $5 million in capital to $25 million.
“This expansion is about responding quickly to the needs of Canadian exporters at different growth stages,” said Guillermo Freire, Senior Vice President Mid-Market Group, EDC. “EDC is working to build Canada’s share of international trade by accelerating the success of Canadian companies. Working closely with our qualified private sector partners, we can make a bigger impact through enhanced support making sure that exporters get the capital they need, when they need it.”
Since its launch in April 2020, EDC’s Investment Matching Program has seen strong demand and has received positive feedback from businesses across the country. To date, the program has supported over 110 companies with a total of over $390 million in co-investments from EDC. Of the total, 38 per cent have a cleantech focus and 18 per cent are led by management teams or founders who identify as members of equity-seeking groups.
“Cycle Capital's collaboration with EDC's team through the Investment Matching Program has proven to be a very positive experience that played a critical role in offering essential financing to support the growth and product development of Canada's prominent climate tech companies,” said Andrée-Lise Méthot, Founder and Managing Partner, Cycle Capital. “EDC’s expertise is very valuable to support companies with market development and exports.”
Through the Investment Matching Program, EDC leverages the work of venture capital or private equity investors for an expedited due diligence and approval process. The program increases the capital available to Canadian companies by matching their new investors on the same terms and conditions. By leveraging the work of our partners, EDC is able to expedite approval in as little as 30 days, enabling entrepreneurs to more efficiently access growth capital and focus on growing their businesses. To be considered for the program, companies must have international expansion as a key corporate priority, must have a new term sheet created with an aligned, qualified Canadian or international institutional venture capital or private equity investor, and have revenues of at least $500,000. Businesses with revenues of up to $10M may be able to access up to $10 million in matching investments, while mid-market companies--with revenues over $10 million--may be able to access up to $25 million in matching investments from EDC.
If you’re a Canadian business and interested in finding out how we can help accelerate your company’s growth, visit edc.ca or ask your investor to reach out to begin the discussion.
“As a medium segment company dedicated to driving innovation within the environmental sector and promoting a sustainable future, Catapult Environmental is pleased to partner with an organization that shares our vision and commitment to creating positive change. From the outset, EDC demonstrated a deep understanding of our business needs and the unique challenges we faced as a rapidly growing company supporting us at different growth stages of our journey. Through the Investment Matching Program, we’ve had access to a network of investors, expert guidance, and valuable resources to help our businesses achieve our growth objectives and succeed in today's competitive market. We highly recommend the EDC Investment Matching Program to any business seeking to secure equity funding and an expert partner along the way.”
-- Dan O’Byrne, President & CEO, Catapult Environmental Inc.
“EDC supported us by being agile during the funding process and by allowing us to solidify and grow our presence in the United Sates. Our Account Manager really took the time to understand our business model which made such a difference in tailoring the solution to our business needs. EDC’s support is leveling the playing field for Bus.com, a diverse-led business and supporting us in modernizing the charter bus industry.”
-- Catherine Desaulniers Lamy, Corporate Finance Manager, Bus.com
Export Development Canada (EDC) is a financial Crown corporation dedicated to helping Canadian businesses make an impact at home and abroad. EDC has the financial products and knowledge Canadian companies need to confidently enter new markets, reduce financial risk and grow their business as they go from local to global. Together, EDC and Canadian companies are building a more prosperous, stronger and sustainable economy for all Canadians.
For more information and to learn how we can help your company, call us at 1-800-229-0575 or visit www.edc.ca.