BDC announced today that it is providing $40 million in funding to four Canadian cleantech companies.
The investments are the first of a $700 million, five-year commitment to supporting cleantech announced earlier this year as part of Budget 2017, which also earmarked a total of $2.3 billion for cleantech initiatives in Canada. BDC created a dedicated team specifically to evaluate cleantech opportunities.
“Investing in the development of new clean technologies accelerates innovation, increases the competitiveness of Canadian firms, and creates new jobs in Canada,” said Navdeep Bains, Minister of Innovation, Science and Economic Development. “These investments exemplify our government’s commitment to demonstrating a clean environment and a strong economy go hand-in-hand.”
BDC did not indicate if the financing was debt or an equity investment (though the BDC’s cleantech practice commits both new equity and commercial loans). The firm will also offer advisory services to portfolio companies to help them address challenges beyond financing, such as growth plans, productivity, and talent.
“We are up and running, open for business and these four investments are just the beginning,” said Susan Rohac, vice president of the BDC Cleantech Practice. “With this expanded mandate, BDC’s overarching objective is to help build a commercially sustainable cleantech industry that will, over time, be able to attract more of the necessary private sector capital to grow.”
The four firms being financed include:
Ensyn Technologies – Ottawa, Ontario
Following several years of commercial operations converting forest residues to renewable heating fuels at its 13 million litre a year plant in Renfrew, Ontario, Ensyn is commissioning a larger-scale renewable fuels facility in Quebec.
The Quebec plant will convert forest residues to 40 million litres of renewable heating fuels per year. BDC’s financing will help the company continue to expand its production and distribution capabilities.
GreenMantra Technologies – Brantford, Ontario
GreenMantra has developed a proprietary thermo-catalytic system and patented process to cost-effectively convert and “up-cycle” waste plastics into specialty polymers and other specialty chemicals. The funding from BDC will help expand GreenMantra’s specialty chemical plant.
HGSat – Montreal, Quebec
GHGSat launched a high-resolution satellite capable of measuring greenhouse gas (CO2 & CH4) emissions in June 2016. The company is using the satellite and its patented technology to provide greenhouse gas emissions monitoring data and services globally.
GHGSat will use the BDC funding and financial support from other partners to grow the company and build out a satellite constellation.
Enlighten Innovations (formerly Field Upgrading) – Calgary, Alberta
Enlighten Innovations has developed and is commercializing a patented technology to desulphurize heavy oils, including bitumen, to produce lower emission marine fuels for the global shipping industry.
BDC’s financing, in conjunction with other funding and capital, will help the company build its first commercial plant, based on a successful pilot plant.
