Tera Capital Corporation

About

Tera Capital Corporation is a venture capital firm specializing in early stage, mid stage, later stage, and growth capital investments. The firm seeks to invest in technology, telecommunications, biotechnology, natural resources, clean energy, financials, and health sectors. It prefers to acquire a board seat in its portfolio companies. The firm also manages hedge funds. Tera Capital Corporation was founded in 1996 and is based in Toronto, Canada.

Source: Tera Capital Corporation

Strategy

Principal Investment Objective – Tera Capital Corporation was formed in 1996 as a means of investing in equity or debt of higher growth and, in turn, higher potential return opportunities. Focusing primarily on small cap equities ($500MM market cap), the success of the top rated Global Innovation Fund has been followed by a Diversified Balanced Small Cap Fund and a High Income Fund.

Investment Strategy – Tera Capital Corporation (Tera) implements an investment strategy and process which has been developed and practiced in prior portfolios. Tera focuses on the following key characteristics:

* Industry Focus – Tera seeks investments in the growth markets across all industry sectors including innovation, natural resources, industrials, clean energy, biotechnology, and financials. These industries represent an attractive investment emphasis due to

• substantial and diverse market opportunities
• worldwide sales potential
• changing regulatory environments
• technological innovations

* Investment Process – Tera uses a systematic investment process for generating superior returns. We also take a disciplined approach throughout each stage of the investment process, from sourcing transaction flow, to screening decisions and due diligence; from structuring and negotiating terms; to working actively with management teams and realizing investment liquidity.

In early stage transactions, we’re the catalyst for originating the investment and organizing the financing syndicate. In most mid-to-later stage investments, we get to know a prospective portfolio company and have developed a relationship with management over a period of time. Building these relationships has served us well in prior investments, in ways that include:

1. generating investments on a friendlier basis
2. achieving more favourable terms
3. being able to proactively initiate financing on a timely basis and avoid a competitive bidding process.

Tera has established a reputation for credible, honest and straightforward communications, decision-making and advice. This has proven advantageous in those selective investment situations where Tera has been welcomed as investment partners by management teams and co-investors.

Source: Tera Capital Corporation


  • Industry Focus
    Diversified
  • Year Founded
    1996
  • Address
    87 Front Street East
    Suite 300
    Toronto, ON
    M5E 1B8
  • Key Personnel
    Howard Sutton, President
    Duncan Stewart CFA, Partner