Canada Growth Fund to Invest up to US$100 Million in Svante to Accelerate Growth
2024年8月16日 - 5:19AM
ビジネスワイヤ(英語)
Canada Growth Fund Inc. (“CGF”) and Svante Technologies Inc.
(“Svante” or the “Company”), a leading global carbon capture and
removal solutions provider headquartered in Vancouver, Canada,
announced today a financing commitment of up to US$100 million to
accelerate the development and construction of Svante’s commercial
carbon capture and removal projects in Canada and the US.
This press release features multimedia. View
the full release here:
https://www.businesswire.com/news/home/20240815708357/en/
Claude Letourneau, Svante's President
& CEO at Svante's World Headquarters, the Centre of Excellence
for Carbon Capture & Removal in Vancouver, BC (Photo: Business
Wire)
CGF has a mandate to invest in Canadian clean technology
businesses that are scaling technologies currently in the
commercialization stage of development. Svante is a leading
developer of carbon capture and removal technology, with
significant potential to accelerate emissions reductions in
hard-to-abate sectors worldwide. CGF’s investment enables the
Company to focus on its first-of-a-kind (FOAK) deployment
opportunities and will encourage the business to prioritize
opportunities in its Canadian pipeline. CGF’s capital is supporting
ongoing Canadian operations and will encourage Svante to accelerate
the delivery of projects domestically and internationally,
leveraging their Canadian IP and manufacturing capabilities.
“CGF is working to accelerate the deployment of key Canadian
carbon capture technologies, and to scale the manufacturing and
export of promising solutions to showcase Canadian technologies
internationally,” said Patrick Charbonneau, President and CEO of
Canada Growth Fund Investment Management Inc. (“CGF Investment
Management”). “Svante has a tremendous market opportunity, globally
and here at home, and we look forward to supporting this company in
its growth.”
CGF will fund its investment in two tranches: (i) an initial
tranche of US$50 million will be used to accelerate and de-risk
FOAK commercial projects currently underway and (ii) a potential
second tranche expected to be tied to project-specific requirements
to match Svante’s capital needs for the development and
construction of projects alongside the Company’s co-development
partners.
Claude Letourneau, Svante’s President and CEO, said: “We are
delighted with this investment by CGF. It is transformational for
Svante and complements the US$145 million capital investment made
in our new carbon capture and removal filter manufacturing facility
under construction in Vancouver. This will strengthen our
Integrated Project Development Services offering to help our
customers de-risk FOAK projects by providing both our in-house
project development advisory expertise and financing. This new
offering bridges the gap for our customers as it enables them to
reach final investment decision.”
Transaction Highlights
- CGF will invest up to US$100M in Svante via convertible
note(s), aimed at advancing the development of Svante’s innovative
carbon capture technology.
- The investment will be made in two tranches: the first tranche
of US$50M will be disbursed immediately, and the second tranche of
US$50M can be drawn for the development and construction of carbon
capture projects with a focus on Canadian projects, subject to
approval by both organizations.
- Svante is constructing a 141,000 sq. ft. facility in Burnaby,
BC, Canada, which will produce filters capable of capturing 10
million tonnes of CO2 annually and serve as the company’s global
headquarters and R&D center.
- The proceeds from the first investment tranche will be utilized
for commercial development and FOAK project funding.
- This investment aligns with CGF's mandate by supporting a
leading Canadian cleantech company, protecting Canadian IP and
jobs, and encouraging the development of Canadian projects and
innovation activities.
- The investment will accelerate the deployment of Svante’s
innovative carbon capture technology, which has the potential to
significantly reduce global CO2 emissions.
- This investment marks CGF’s first venture in British Columbia,
supporting local jobs in the province and diversifying its
investment portfolio.
- The market for carbon capture and sequestration, and carbon
removals, is expanding, with supportive regulations in place in
Canada, the USA, and Europe, highlighting the growing demand for
emissions reduction and removal technologies.
About CGF
CGF is a $15 billion arm’s length public investment vehicle that
helps attract private capital to build Canada’s clean economy by
using investment instruments that absorb certain risks, in order to
encourage private investment in low carbon projects, technologies,
businesses, and supply chains.
CGF makes strategic investments to help Canada meet the
following national economic and climate policy goals:
- reduce emissions and achieve Canada’s climate targets;
- accelerate the deployment of key technologies, such as
low-carbon hydrogen and CCS;
- scale-up companies that will create jobs, drive productivity
and clean growth across new and traditional sectors of Canada’s
industrial base;
- encourage the retention of intellectual property in Canada;
and
- capitalize on Canada’s abundance of natural resources and
strengthen critical supply chains to secure Canada’s future
economic and environmental well-being.
Further information on CGF’s mandate, strategic objectives,
investment selection criteria, scope of investment activities, and
range of investment instruments can be found on www.cgf-fcc.ca.
About CGF Investment Management
In Budget 2023, the Government of Canada announced that PSP
Investments, through a wholly owned subsidiary, would act as
investment manager for CGF. CGF Investment Management has been
incorporated to act as the independent and exclusive investment
manager of CGF.
About Svante
Svante is a purpose-driven, leading carbon capture and removal
solutions provider. The Vancouver, Canada-based company
manufactures nanoengineered filters and modular rotary contactor
machines that capture and remove CO2 from industrial emissions and
the air in an environmentally responsible manner. Svante is on the
2024 Global Cleantech 100, the XPRIZE Foundation’s XB100 – World’s
Top 100 Deep Tech Companies and was ranked second among private
companies in the Corporate Knights’ Future 50 Fastest Growing
Sustainable Companies. For more information, visit
www.svanteinc.com and follow Svante on LinkedIn at
www.linkedin.com/svantesolutions.
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version on businesswire.com: https://www.businesswire.com/news/home/20240815708357/en/
Svante Media Relations Colleen Nitta Director of Marketing &
Communications cnitta@svanteinc.com 604-970-2813
CGF Media Relations mediacgf@cgf-fcc.ca