TORONTO–(BUSINESS WIRE)–Realize Capital Partners has today announced its first set of investments for Realize Fund I: nine investments, totalling a commitment of capital of $35.2 million.
“With Realize Fund I, we aim to invest in a way that accelerates social equity in Canada and builds the social finance market,” says Alexandra Baillie, Realize Capital Partners’ board chair. “We recognize this is an ambitious goal. Inequity is pervasive and deeply rooted, with many complex, often interconnected, causes. To make meaningful progress towards realizing social equity, we need an investment approach as multifaceted as the problem. We need to invest in initiatives that tackle inequity from different perspectives and positively reinforce one another to strengthen individual, community and environmental outcomes. Our first set of investments positions us to begin to do that.”
“The Social Finance Fund is an innovative and first of its kind program. Through this Fund, the Government of Canada is investing in, and supporting the growth of, a vibrant social finance market,” shares Jenna Sudds, Minister of Families, Children, and Social Development. “By investing in the Social Finance Fund, we are enabling social innovators to succeed, as they lead the way in building a more prosperous and inclusive economy that works for all Canadians. This set of investments by Realize Capital Partners is integral to making positive impacts for Canadians and local communities.”
The Investments
Maximizing impact outcomes through a mix of new, emerging and established product issuers thinking intentionally about who they invest in as well as the impact aims of the investees. Maximizing investable opportunities through a mix of private equity, venture capital, private credit and community investing.
Direct Support for People and Place
Jubilee Fund is an established, community-based fund manager providing loans to nonprofits and social enterprises in Manitoba. With its latest capital raise, it aims to extend its community lending program to additional beneficial initiatives like childcare centres, cultural centres, affordable housing, community hubs and social enterprise growth. We believe this fund will help to improve livelihoods, the social determinants of health and community cohesion.
New Market Funds is an established fund manager. NMF Rental Housing Fund II partners with nonprofits across Canada to take ownership of and improve existing housing stock and to create new affordable housing developments. The fund has set impact targets around rental affordability and carbon emissions reductions. We believe this fund will improve livelihoods, strengthen social purpose organizations and help to tackle climate change.
Windmill Microlending is an established woman-led product issuer. Windmill Microlending’s Community Bond provides loans to foreign-trained professionals in Canada to enable them to work in the field they trained in before coming to Canada. We believe this fund will improve individual outcomes and strengthen social cohesion.
Finding Innovative Impact through New Perspectives
Maple Bridge Ventures is an immigrant-led, first-time fund manager. Maple Bridge Ventures Fund I aims to invest in 12-15 Canadian ventures led by immigrants, with a focus on health and sustainability technology. We believe this fund will help to diversify the social finance market and create greater opportunities for equity-deserving groups.
Raven Indigenous Capital Partners is an established Indigenous-led fund manager. Raven Indigenous Opportunities Fund I aims to provide follow-on capital to ~6 rapidly scaling impact-focused Indigenous enterprises across Canada for whom there is limited access to culturally safe capital. We believe this fund will catalyze and diversify the social finance market and support economic reconciliation.
Relentless Pursuit Management is an emerging woman-led fund manager. Fund II, the Relentless Health Pursuit Fund, aims to invest in 12-15 early-stage companies led by members of equity-deserving groups that are developing technologies to address gaps in preventative health and chronic disease management addressing common chronic conditions associated with aging. Relentless has a strong focus on impact assessment and measurement. We believe this fund will diversify the social finance market and improve people’s physical and mental well-being.
The51 is an emerging woman-led fund manager. The51 Food and AgTech Fund I aims to invest in about 25 Canadian tech companies led by diverse teams, addressing climate challenges by reducing emissions and improving sustainability in the food and agriculture sectors. We believe this fund will diversify the social finance market and help build resilience in the food system.
“Made in Canada” Climate Solutions
Idealist Capital is a newly established private equity fund manager. Idealist Climate Impact Fund I aims to invest in about 10 growth-stage companies across Canada that are decarbonizing the power supply, electrifying transportation, supporting the transition to a circular economy and decarbonizing industrials. The fund has an impact measurement framework in place to measure reductions in carbon emissions. We believe that by helping to scale commercially ready solutions, this fund will help to tackle climate change.
PaceZero Capital Partners is an emerging private credit fund manager. PaceZero Sustainable Credit Fund II aims to support 16-20 early-stage Canadian companies in developing and commercializing their technologies to deliver positive social and environmental impact. The fund’s impact framework is aligned to global standards. We believe this fund will create significant and far-reaching environmental benefits.
Just the Start
At a targeted $405 million fund size, Realize Fund I will be making many more investments next year and in the years ahead. In 2024 the team will develop new community partnerships to propel community-led solutions, continue to support new and emerging managers, strive for investments aimed at helping rural and remote communities and support managers’ development of impact measurement frameworks.
About Realize Capital Partners
Realize Capital Partners is one of three fund-of-fund managers selected by the Government of Canada for its Social Finance Fund (SFF). Realize Capital Partners is a joint venture between Rally Assets and Relay Ventures. The SFF is an initiative to strengthen social purpose organizations and accelerate the growth of Canada’s social finance market. Through Realize Fund I, and alongside the other fund-of-funds managers, we are investing in positively impactful enterprises that accelerate social equity in Canada.
Contacts
Estelle Taylor
info@realizecapitalpartners.ca