Vancity Capital

About

Vancity Capital Corporation is a private equity and venture capital arm of Vancouver City Savings Credit Union specializing in industry consolidation, buyouts, growth capital, emerging growth, and mezzanine investments. It provides debt and equity investment and does not invest in natural resource extractors, real estate organizations, or start-up companies.

The firm seeks to invest in many sectors with a focus on manufacturing, services, technology, entertainment, green economy, communications, and niche-markets

Source: Vancity Capital

Strategy

The firm seeks to finance mature and middle market companies for expansions, strategic acquisitions, marketing, and management and partner buyouts. It typically provides financing in the form of stretch debt, subordinated debt, debentures, equity investments, and mezzanine financing. It also considers short-term bridge financing.

The firm invests in small and medium-sized companies and social enterprises in British Columbia, Canada. It typically invests between $.25 million and $5 million in companies that have been operating since at least two years. The firm finances deals of up to $5 million and syndicates larger deals up to $10 million. The firm invests in portfolio companies for a period of three to seven years.

In the case of social enterprises, it provides subordinated debt and stretch debt ranging from $50,000 to $10 million for a period between three and five years. The firm does not require a seat on the board or management representation in its portfolio companies. It also does syndication with other financial institutions.

Source: Vancity Capital