Northleaf Capital Partners (“Northleaf”), a leading global private markets investment firm, today announced the successful closing of Northleaf Venture Catalyst Fund III (“NVCF III” or the “Fund”) at its $370 million hard cap. Marking Northleaf’s fourth Canadian venture capital fund, NVCF III forms an integral part of the Government of Canada’s renewed Venture Capital Catalyst Initiative (“VCCI”), aimed at increasing the availability of capital for Canada's high-potential VC funds and innovative start-ups.

The Fund’s mandate is to generate strong returns from a well-diversified portfolio, investing in Canada-based venture capital and growth funds across stage and sector, and direct investments in later-stage high-growth, innovative companies. Across its Canada-focused investment program, Northleaf has delivered attractive returns through investments in more than 50 Canadian VC funds and more than 30 technology and health care companies.

In addition to the Government of Canada, which invested in NVCF III through BDC Capital, a number of leading Canadian institutional investors committed capital to the Fund, including Canada Pension Plan Investment Board (CPP Investments), as well as high-net-worth individuals and family offices.

“We are grateful for the support from both new and existing investors in our VC program, and their trust in Northleaf’s ability to consistently deliver attractive net returns,” said Lauren Harris, Managing Director at Northleaf. “Over the past 16 years, we have invested in some of Canada’s most promising companies, including Shopify, Verafin, BlueCat Networks, Chinook Therapeutics, and Zymeworks, and we look forward to building upon the success of our track record in the Canadian venture capital market as we invest NVCF III.”

“Through this commitment to NVCF III, we are able to efficiently access the many excellent investment opportunities within Canada’s venture capital ecosystem,” said Caitlin Gubbels, Managing Director, Head of Funds, CPP Investments. “As one of our key partners in Canadian private equity and venture capital for nearly 20 years, Northleaf remains well-positioned to provide strong expertise and capabilities in the execution of its Canadian venture capital program, driving risk-adjusted returns for CPP Investments.”

“As a strategic partner to Canada’s innovation ecosystem, BDC Capital’s goal is to empower high-potential, high-growth companies and enable them to thrive on the global stage,” said Jérôme Nycz, Executive Vice President, BDC Capital. “We’re pleased to support Northleaf once again, through a commitment in NVCF III, ensuring Canada’s future technology leaders can draw upon a strong and consistent flow of capital and deep expertise.”

“NVCF III is a continuation of Northleaf’s proven, Canada-focused venture capital strategy, employing a disciplined focus on generating top-tier returns for our investors,” said Ian Carew, Managing Director and Venture Partner at Northleaf. “This is an opportune time in the market to have capital for new VC and growth investments. We are excited to play a leading role in the ongoing development of a vibrant, diverse and productive investment environment, and to empower promising Canadian companies to scale up into global champions.”

Since NVCF III’s launch in July 2023, Northleaf has begun to construct a well-diversified portfolio for the Fund, with commitments to 11 venture capital funds, including existing and new fund manager relationships, and direct investments in three innovative, high-growth companies. Leveraging its successful track record, experienced team and established private markets platform, Northleaf has developed an active pipeline of Canadian fund and direct investment opportunities that are under evaluation for NVCF III.

Northleaf recently held a final close for its first direct growth equity fund, Northleaf Growth Fund, which surpassed its US$200 million target. With significant private equity, private credit and infrastructure fundraising over the past twelve months, the firm’s total capital commitments raised to date exceed US$25 billion.

About Northleaf Capital Partners

Northleaf Capital Partners is a global private markets investment firm with more than US$25 billion in private equity and venture capital, private credit and infrastructure commitments raised to date from public, corporate and multi-employer pension plans, endowments, foundations, financial institutions and family offices. Northleaf’s 250-person team is located in Toronto, Chicago, London, Los Angeles, Melbourne, Menlo Park, Montreal, New York and Tokyo. Northleaf sources, evaluates and manages private markets investments, with a focus on mid-market companies and assets. For more information on Northleaf, please visit www.northleafcapital.com.

Disclaimer: This document is for informational purposes only and does not constitute a general solicitation, offer or invitation in any Northleaf-managed funds in the United States or in any other jurisdiction and has not been prepared in connection with any such offer. In addition, the information contained in this document may not be relied on in any manner as legal, tax or investment advice. The views expressed herein do not constitute investment or any other advice and are subject to change.

This document has not been approved by the United States Securities and Exchange Commission or by any regulatory or supervisory authority of any state or other jurisdiction, nor has any such authority or commission passed on the adequacy of this document. Any representation to the contrary is unlawful.

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