CIBC Innovation Banking provided financing solutions, including a capital call line of credit, to Graphite Ventures, a $100-million fund focused on seed-stage investments and extensions through to the rights for series A rounds. The capital call facility provides Graphite with the flexibility to make investments in portfolio companies prior to calling capital from the fund’s limited partners.
Building on the team’s record using a disciplined and proven investment model, Graphite will further support capital investments in early-stage companies across Canada. This enables start-ups to compete and scale globally. The fund’s focus is on B2B SaaS, digital health, proptech, fintech and capital-efficient hardware businesses. Graphite has closed eight investments and raised $77 million of capital to date. The fund is targeting a $100-million close in 2022.
“The team behind Graphite has demonstrated an effective investment strategy over the years and CIBC is proud to support them with their future portfolio investments,” Rob Rosen, managing director at CIBC Innovation Banking, said. “They have consistently supported early-stage companies to help them get to series A and beyond, and we’re excited to see how they continue to help fuel Ontario’s thriving innovation ecosystem of start-ups.”
“CIBC Innovation Banking is a valued ecosystem partner and they have supported many of our portfolio companies by providing competitive banking solutions. Our CIBC capital call facility will help us deploy capital efficiently in our investments, which is integral to the operations of our fund. We look forward to continuing to work with CIBC as we scale Graphite Ventures, and the portfolio companies we support,” Aaron Bast, general partner at Graphite Ventures, said.
