Top Q2 Canadian VC deals land more than $446 mln


Canada venture capital top deals
Venture capital text on brick wall. Photo courtesy iStock/natasaadzic

Canada’s top 10 second-quarter venture-capital financings attracted more than $446 million from investors, up 60 percent from the $279 million that went into the top 10 deals a year ago.

That estimate is based on PE Hub Canada‘s list of the largest rounds announced from April through June. It is headed by DalCor Pharma and Real Matters, which accounted for Canada’s two largest tech financings since 2013.

The results suggest Q2 2016 is likely to build on the very robust activity of the preceding quarter. The Canadian Venture Capital & Private Equity Association and Thomson Reuters reported investments of $838 million and $869 million respectively in Q1 2016, one of the best quarterly outcomes in many years.

1) DalCor Pharma (Montréal)

DalCor Pharmaceuticals, a developer of precision medicine for cardiovascular disease, received about $127 million (US$100 million) in Series B funding in April. The round was backed by DalCor’s founding investors, André Desmarais and Sanderling Ventures, and joined by Caisse de dépôt et placement du Québec, Fonds de solidarité FTQ and CTI Life Sciences Fund.

2) Real Matters (Toronto)

Real Matters raised $100 million in common equity in April, valuing the cloud-based real estate technology platform at $653 million. More than 20 public-market investors committed to the deal. The company’s longtime venture-capital investor, Whitecap Venture Partners, also participated. With the round, Real Matters acquired Linear Title & Closing.

3) Flipp (Toronto)

In April, Flipp Corp secured a $61 million strategic investment from General Atlantic, which reportedly valued the company at about $400 million. Flipp, the developer of an app that enables consumers to access digital flyers, is also a portfolio investment of Insight Venture Partners.

4) League (Toronto)

Digital health insurance platform League pulled in about $32 million (US$25 million) in a Series A financing in June. OMERS Ventures, which led League’s seed funding in 2014, also led the Series A round. It was joined by Infinite Potential Technologies, Real Ventures and BDC Capital, as well as strategic investors RBC, Manulife and Power Financial Corp.

5) PrecisionHawk (Toronto)

PrecisionHawk, a creator of aerial data and safety technology for drones, raised nearly $23 million (US$18 million) in April. Verizon Ventures, a USAA subsidiary, NTT Docomo Ventures, Yamaha Motor, Intel Capital, Millennium Technology Value Partners and Innovate Indiana Fund invested in the round. PrecisionHawk also operates from Raleigh, North Carolina.

6) Q4 (Toronto)

Q4 closed a $22 million Series B funding in May. The investors included OpenText Enterprise Apps Fund, Information Venture Partners, HarbourVest Partners, Emerillon Capital and Kensington Capital Partners. Plaza Ventures and Accomplice, which backed the company’s Series A, also invested. Q4 provides software solutions to the investor-relations market.

7) Titan Medical (Toronto)

Titan Medical, a publicly listed robotic surgical technology company, said in June it had agreed to obtain an investment of about $21 million (US$16 million). The financing will provided in two tranches by a single venture capital investor, Shanghai Jugu Equity Investment Fund.

8) Bench (Vancouver)

In May, online bookkeeping service Bench received a little more than $20 million (US$16 million) in a Series B financing led by Bain Capital Ventures. Bain was joined by Altos Ventures and Contour Venture Partners, which also invested in the company’s Series A round in 2015.

9) Assent Compliance (Ottawa)

Assent Compliance took $20 million in a first-time funding deal in May. It was led by Volition Capital and included participation from OpenText Enterprise Application Fund, BDC Capital, National Research Council of CanadaRoyal Bank of Canada and other investors. Assent helps businesses to manage their supply chains and product compliance.

10) Peraso Technologies (Toronto)

In April, fabless semiconductor company Peraso Technologies also secured $20 million. The Series C financing was co-led by Integrated Device Technology and existing investor Roadmap Capital, and was joined by another existing investor, iNovia Capital. Peraso, a maker of wireless gigabit chipsets, is also backed by Celtic House Venture Partners.

Photo courtesy ©iStock/natasaadzic