A new $15-million Calgary venture capital fund intends to focus on commercializing agricultural technology.
AVAC Group launched Carrot Ventures Fund May 3. It is backed by AVAC Ltd. and Farm Credit Canada.
According to a news release, Carrot Ventures will address systemic challenges that ag tech startups face.
“The goal is to offer holders of ag tech intellectual property a novel option to commercialize their IP and to offer syndicating ag tech investors a stream of compelling startups in which to invest,” said the new release.
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Shareholder value is expected to be gained by creating new companies that focus on solving real market problems.
Warren Bergen, AVAC Ltd. president, said the company was happy to partner with FCC.
“The Carrot company formation model provides a way to accelerate from startup to market leadership very quickly and we are excited to provide inventors with a third option as they consider commercializing their technologies,” he said.
FCC’s vice-president and treasurer, Rebbecca Clarke, said the venture capital fund is innovative.
“AVAC has developed a great team of experienced investment professionals and is a long-recognized venture investor in the technology space,” she said. “We recognize the value of the Carrot Ventures model and the positive impact this fund can have on ag tech innovation.”
The team has been investing in technology startups for more than 20 years.
AVAC says Carrot Ventures will source and vett new technologies, recruit experienced leadership and create new companies around those. It will also lead the first round of company financing.
More information on the fund can be found at carrotventures.com.
