FAQ


Frequently Asked Questions

What do you do?

Teralys Capital invests primarily in Canadian venture capital and growth-oriented funds that support innovative, high growth technology companies in the information technology, life sciences and cleantech sectors. It has been established to provide investment funding in Canada for venture capital and technology growth equity managers capable of generating superior returns. For further details, please see our « What We Do » section of our website.

 
How will Teralys operate?

We are structured as a private fund of funds that makes investments primarily in qualified underlying funds. These underlying funds subsequently make investments in high-growth, technology companies.

 
How do you differentiate from
other fund of funds?

We’re a proactive team and we aim to reshape the Canadian technology focused venture capital sector. With our solid management team, diversified experiences, new ways of thinking and implementation of best practices from abroad, we are defining a new era in the industry in terms of our relations with our fund partners and investors and how our funds are structured.

 
Who is the fund manager?

The lead investors have selected Teralys Capital, Canada’s largest fund of funds. Investment decisions will be market-based, returns-focused and made to strengthen the long term prospects for venture capital investing in Canada.

 
Who are the lead investors and
how much are they committing?

The creation of the Teralys Capital Fund is an initiative of the Caisse de dépôt et placement du Québec and the Solidarity Fund QFL, which are each contributing $250 million. The Québec government is contributing $200 million through Investissement Québec. The fund will also solicit other institutional and private investors to raise an additional $125 million, for a total objective of $825 million.

 
What are your investment plans?

Teralys Capital will invest primarily in technology-focused venture capital and growth-oriented funds. A minimum of 50% of the capital will be committed to Québec-based funds, an additional 25% across Canada and finally up to 25% internationally as a means to generate enhanced returns and foster an exchange of best practices. For further details, please see our « Where We Invest » section of our website.

 
Are there plans to invest
additional capital?

Teralys Capital will identify other potential strategic alliances with institutional investors to join our primary partner funds.

 
What are the objectives of the fund?

Teralys Capital is taking a proactive role in generating long-term returns for our investors. We aim to reshape the technology focused venture capital sector in Canada and strengthen our local technology ecosystem to better nurture and encourage our outstanding technology entrepreneurs. Through our disciplined focus on generating top-tier returns and fostering the development of a renewed venture capital sector, Teralys Capital is a leader in Canada’s on-going initiatives to create a more efficient venture capital sector, stronger returns for all players and more globally competitive Canadian technology companies.

 
What is the profile of the funds that
Teralys will invest in?

Teralys Capital will identify funds that deliver attractive long-term returns. We will consider, amongst others: a fund’s investment strategy, team composition & skill set, philosophy, historical track record, and sustainable competitive advantage.

 
Which funds does Teralys plan
to invest in?

Teralys Capital will invest primarily in Canadian venture capital and growth-oriented technology funds in the information technology, life sciences and cleantech sectors. We will perform extensive due diligence with our experienced team of managers to determine which funds would be the best fit for our strategy, goals and investment style.

 
How many fund commitments
will Teralys make?

Teralys Capital plans to build a focused portfolio of high potential funds that have sufficient scale and resources to effectively execute our investment strategy and generate attractive returns. We expect the majority of commitments to be directed towards underlying funds in the $150 million range.

 
What is the role of the executive commitee?

The limited partners are represented by an Executive Committee whose role and responsibilities are similar to those of a traditional company’s Board of Directors. In addition to its governance role, the Executive Committee is responsible to ratify all important decisions such as approving the investment strategy, selecting or replacing the Manager, suspending the investment period, managing conflicts of interests, reviewing valuation principles and internal investment processes.

 
What is the role of the manager?

The Manager is responsible for the Fund’s day-to-day management and investment activities, and it reports to the Executive Committee. Teralys Capital communicates regularly to its investors periodic status reviews regarding its management or investments activities. Furthermore, Teralys Capital is governed by a Code of Ethic to ensure proper independence in its decision processes.

 
What is the selection process?

Teralys Capital is actively seeking the best investment opportunities.  Each proposal identified or received must be initially qualified according to our investment program and portfolio guidelines. Teralys Capital then uses a thorough investment and due diligence process based on industry best practices and approved by its investors.  The proposed terms and conditions must ensure a proper alignment of interests between the fund promoters and the potential investors.

 
Who is the independant auditor of Teralys?

KPMG is Teralys Capital’s external auditor, an independent body appointed by, and directly answerable to the Executive Committee. In addition to auditing the annual financial statements, the auditor must verify that Teralys Capital's investments have been conducted in compliance with its internal processes as approved by the Executive Committee.

 
If I am a fund manager, who do I contact?

Please contact the Teralys Capital team via email at info@teralyscapital.com or by phone at +1 (514) 509-2080.