Annual Report 2011-12 (Alberta Enterprise Corporation)

Summary

• Alberta Enterprise Corporation committed $54 million of its $100 million provincial allocation across four venture capital funds by the end of fiscal year 2011-2012.p.5
• The Corporation committed $10 million CAD to iNovia Investment Fund III and $15 million USD to EnerTech Capital IV during the 2011-2012 fiscal year.p.8
• Alberta Enterprise's $54 million committed capital leveraged into $404 million in total capital across investee funds, connecting to 99 Limited Partners, 147 portfolio companies, and 131 VC firms.p.9
• The Board approved three additional commitments totaling $26 million expected to close in the first half of fiscal year 2012-2013, alongside a subsequent $10 million commitment to the Accelerate Fund.p.8
• During fiscal 2011-2012, Alberta Enterprise disbursed $3.448 million, reaching a cumulative disbursement total of $9.882 million to limited partnerships.p.12
• The balance sheet recorded a $1.896 million unrealized remeasurement gain on investments in Limited Partnerships for the fiscal year.p.12

Key insights

1. Alberta Enterprise operates as a fund-of-funds Limited Partner to build a self-sustaining local venture capital ecosystem with resident fund professionals.p.3
2. Investee funds are required to establish an office or partner presence in Alberta to foster direct access to capital and networks for local entrepreneurs.p.5
3. Investment activities focus on information and communications technology, energy and clean technology, and sub-sectors of life sciences.p.6
4. Preparations were completed to launch the Accelerate Fund, an angel co-investment fund designed to support early-stage startups with capital and guidance.p.6
5. Grassroots industry development initiatives supported included leading the Venture Capital Association of Alberta and co-organizing the AccelerateAB conference.p.10
6. The Corporation identified key risk factors including fundraising conditions for VC funds, General Partner consolidation in Canada, and availability of local C-level talent and deal flow.p.13