Aiming to provide growth-stage financing to Atlantic Canadian startups, a multi-fund investment group called AtlantiCan Growth Partners launched this week and could be writing cheques this summer.
Backed by private investors, AGP has named its board of directors and is planning to launch three funds to invest in Atlantic Canadian companies. Its first fund will target blue economy startups in such industries as aquaculture, marine technology, fisheries and ocean innovation.
The principals expect the blue economy fund could have a first closing worth about $50 million-$75 million this summer. They envision a final closing in late 2026 or early 2027 with about $100 million to $150 million in capital, and say that the subsequent funds could be of a similar magnitude.
"Atlantic Canada . . . is home to exceptional companies, driven founders, and a strong support system that is often understated," said AGP President and CEO Alex McCallum in a statement. "What we see now is an opportunity to build on that foundation with more dedicated growth-stage capital for companies ready to scale.”
AGP said it was created to address what it describes as a gap in growth-stage financing in Atlantic Canada. According to the company, the region has attracted between 2 and 3 percent of Canadian venture capital investment over the past five years, while Ontario and Quebec have received most of the funding.
McCallum, who’s also a Co-Founder of Tidal Venture Partners, said in an interview AGP’s sweet spot for investment is to back each company with $10 million to $20 million, possibly over a series of tranches. The goal is to produce a portfolio of “Atlantic Canadian anchor companies."
The group is planning a second fund that will target medical technology startups, and then launch a fund targeting real estate or other physical assets.
The group was developed under the leadership of Executive Chairman Telfer Hanson, who has worked in investment banking and finance for more than 30 years. Hanson said in the statement the organization is intended to help companies overcome challenges associated with scaling their businesses.
AGP has been funded so far by what McCallum calls “institutional capital”, though he added it would be willing to work with government or other partners as it grows.
AGP’s board of directors includes:
- Kyle Tomlin, a senior board member and fund manager with Atlanta-based Imperium Blue, a multi-family office with more than $4 billion under management;
- Ed Barrett, co-CEO of Barrett Corp. and a co-founder of Xplornet Communications, a Woodstock, NB, hybrid wireless fibre and satellite network that was sold in 2020 for a reported US$2 billion;
- Houston Barnaby, a Mi’kmaw lawyer who has represented First Nations across the country;
- Kendra MacDonald, CEO of Canada's Ocean Supercluster.
- And Karl Van Waldow, CEO of Moncton-based Waldow Farms Ltd.
The group said it is seeking relationships with founders, co-investors, institutional partners and ecosystem organizations interested in supporting business growth in Atlantic Canada.
“Atlantic Canada has long been home to world-class operators, innovators, and industry expertise. What the region needs now is more dedicated growth capital to help those companies scale,” said MacDonald. “AGP is built to support that next stage of growth, starting in the blue economy, where the region has both deep roots and global opportunity.”
