QC -- The federal government and industry partner Go Capital have each committed $50 million to support the creation of companies in all sectors of science and technology in Quebec, including natural sciences, life sciences and information technology.

The BDC will act as the fund's manager with GO Capital matching investments in selected firms dollar for dollar, resulting in a $100 million fund. This co-operative initiative involves the major players in Quebec's venture capital industry.

The objective of BDC's Technology Seed Investments Group is to guide the businesses in its portfolio toward marketing of their intellectual property and the next phase of venture capital financing. To date, more than 1000 investment opportunities have been examined by the Group in Canada, testifying to a clear market need.

• The Fund will invest in companies emerging as the result of research and development efforts undertaken in universities, public-sector laboratories and private-sector initiatives.
• Since BDC's Technology Seed Investment Group was created in 2002 to respond to market needs, the group has invested in 37 businesses at the seed stage in Canada. Of these companies, 21 emerged from the context of universities or research laboratories.
• To date, BDC has provided $72 million to these firms. In total, including subsequent investments, the companies have received $225 million in venture capital financing.
• While activity at the seed stage attracts little in the way of investments, BDC's Technology Seed Investments Group has established a portfolio of 14 businesses in Quebec.

The $50-million Fund includes $25 million from FIER Partners, $10 million from the Caisse de dépôt et placement du Québec, an additional $10 million from BDC, $3 million from the Solidarity Fund QFL, and $2 million from Fondaction, the CSN's development fund for co-operation and employment. BDC's total investment thus amounts to $60 million.

BDC will seek to adopt the same model in other Canadian provinces.

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