About Northleaf Venture Catalyst Fund II

Overview

Northleaf Venture Catalyst Fund II (NVCF II) is a joint initiative between major Canadian institutional investors, high net worth and family office investors and the Government of Canada to invest in Canada-based venture capital and growth equity funds and direct investments that support innovative, high growth companies.

NVCF II is structured as a fund of funds and direct investment mandate with the primary objective of generating attractive returns for its investors. The Fund reached its hard cap of C$300 million in capital commitments, of which C$85.7 million came from the Government of Canada. Northleaf manages the Fund on behalf of the investors, which include Canada Pension Plan Investment Board, Sun Life, TD Bank Group, BMO Capital Partners, clients of BMO Private Bank Asia, Manulife, a number of high net worth and family office investors and the Government of Canada (through BDC Capital, the investment arm of the Business Development Bank of Canada).

NVCF II was established through the Government of Canada's Venture Capital Catalyst Initiative (VCCI). VCCI’s mission is to increase the availability of late-stage venture capital in Canada and support innovative high-potential start-ups.

Portfolio Guidelines

NVCF II has a disciplined focus on generating top-tier returns for its investors and accelerating the development of a vibrant venture capital environment.

The NVCF II portfolio will consist principally of Canada-based venture capital and growth-oriented funds and direct investments
A minimum of 80% of fund investments will be invested in Canadian funds, with an allocation of up to 20% in non-Canadian funds
Up to 25% of capital may be invested in direct investments, with a minimum of 80% of direct investment capital allocated to Canada-based companies
Up to 15% of capital may be invested in secondary transactions

Select Institutional Investors

Manager

Northleaf was selected to manage NVCF II following a rigorous review process that included an evaluation of several of the world’s leading private equity fund of funds managers. As a fully discretionary mandate, Northleaf makes all investment decisions on behalf of the Fund.

NVCF II is the latest in Northleaf's series of Canada-focused venture capital funds and builds upon Northleaf's extensive experience, track record and leadership role of investing and managing the Ontario Venture Capital Fund (OVCF) launched in 2008 and Northleaf Venture Catalyst Fund I (NVCF I), launched in 2014. Both OVCF and NVCF I have completed their investment programs and are performing well.