Key Takeaways
- • CIBC has created a $450 million fund dedicated to investing as a Limited Partner in key Canadian and U.S.-based venture capital and growth equity funds, according to a Business Wire release dated October 13, 2021.
- • The bank has made Limited Partner commitments to 12 Canadian-based venture capital and growth equity funds over the past three years, spanning every stage of the entrepreneurial lifecycle.
- • CIBC has recently doubled its capital commitment to venture fund investing and is now backing select later-stage U.S.-based growth equity funds focused on tech and life sciences.
- • Strategy targets North American tech, life science and clean tech sectors, with fund strategies previously including woman-led startups, Fintechs, disruptive tech and early-stage software companies.
- • The fund sits alongside CIBC Innovation Banking's expansion to 11 innovation ecosystems across North America and a new London office.
Summary
CIBC has announced the creation of a $450 million fund dedicated to investing in key Canadian and U.S.-based venture capital and growth equity funds, according to a Business Wire release issued from Toronto. The vehicle positions the bank as a Limited Partner to fund sponsors it already works with, with the stated aim of deepening relationships with successful investors in the North American tech, life science and clean tech sectors.
Mark McQueen, President & Executive Managing Director of CIBC Innovation Banking, said the new capital pool is a "natural next step in enabling growth in these important sectors" and will "fuel the growth in leading start-ups as part of each fund manager's multi-year investment strategy." Over the past three years, CIBC has made financial commitments as a Limited Partner to 12 Canadian-based venture capital and growth equity funds, covering every stage of the entrepreneurial lifecycle. The underlying strategies have included woman-led startups, Fintechs, disruptive tech and early-stage software companies. These commitments are separate from, and additional to, CIBC's previously announced leadership role in establishing and early capitalizing the Canadian Business Growth Fund.
The bank has recently doubled its capital commitment to venture fund investing and is now making Limited Partner investments in select later-stage, U.S.-based growth equity funds supporting the tech and life science sectors. McQueen said the bank sees a broad role in supporting innovation across North America, and described its renewables and clean energy commitments as taking "many forms," with fund partnerships one avenue toward a "best-in-class franchise with global perspectives."
The announcement follows the launch of CIBC Innovation Banking in early 2018. According to the release, the unit has expanded to cover 11 key innovation ecosystems across North America and recently opened a London office, extending its reach to the UK. CIBC Innovation Banking provides strategic advice, cash management and funding to innovation companies across North America, the UK and select European countries from start-up through IPO and beyond, with offices in Atlanta, Austin, Boston, Chicago, Denver, London, Menlo Park, Montreal, New York, Reston, Toronto and Vancouver.
Mark McQueen, President & Executive Managing Director of CIBC Innovation Banking, said the new capital pool is a "natural next step in enabling growth in these important sectors" and will "fuel the growth in leading start-ups as part of each fund manager's multi-year investment strategy." Over the past three years, CIBC has made financial commitments as a Limited Partner to 12 Canadian-based venture capital and growth equity funds, covering every stage of the entrepreneurial lifecycle. The underlying strategies have included woman-led startups, Fintechs, disruptive tech and early-stage software companies. These commitments are separate from, and additional to, CIBC's previously announced leadership role in establishing and early capitalizing the Canadian Business Growth Fund.
The bank has recently doubled its capital commitment to venture fund investing and is now making Limited Partner investments in select later-stage, U.S.-based growth equity funds supporting the tech and life science sectors. McQueen said the bank sees a broad role in supporting innovation across North America, and described its renewables and clean energy commitments as taking "many forms," with fund partnerships one avenue toward a "best-in-class franchise with global perspectives."
The announcement follows the launch of CIBC Innovation Banking in early 2018. According to the release, the unit has expanded to cover 11 key innovation ecosystems across North America and recently opened a London office, extending its reach to the UK. CIBC Innovation Banking provides strategic advice, cash management and funding to innovation companies across North America, the UK and select European countries from start-up through IPO and beyond, with offices in Atlanta, Austin, Boston, Chicago, Denver, London, Menlo Park, Montreal, New York, Reston, Toronto and Vancouver.
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