Concordia invests $2M in the Circular Economy Fund
The Concordia University Foundation and the Greater Montreal Climate Fund (GMCF) are investing $2 million and $500,000, respectively, in the Circular Economy Fund (CE Fund).
The commitments total more than $18M, bringing the EC Fund closer to its objective of $25M, to which Fondaction is also adding $5M in co-investment.
Unique in Canada, the EC Fund was launched in March 2021 by Fondaction, in partnership with the City of Montreal and RECYC-QUÉBEC. The fund aims to accelerate ecological transition through the circular economy, notably by reducing the production of residual materials and supporting their recovery, in addition to reducing greenhouse gas emissions.
It encourages innovation and the exchange of solutions between startups and the largest Quebec companies.
Partnerships anchored in the mission of the Circular Economy Fund
Marc Gauthier, treasurer and chief investment officer of Concordia, says this investment with the GMCF and Fondaction in the Circular Economy Fund represents a second important co-investment for the sustainable innovation sector.
"Earlier this year, we joined Fondaction in the Urapi Sustainable Soil Management Fund. It is with great pleasure that the Concordia University Foundation is now co-investing in the Circular Economy Fund,” he says.
“Like Urapi, this Fund is perfectly aligned with our goals for sustainable investments and investments with social and environmental impact.”
Marie-Claude Bourgie, executive director of the GMCF, says investing in the Circular Economy Fund allows the Greater Montreal Climate Fund to carry out a mission that is close to its heart: to accelerate the implementation of climate solutions in the metropolitan region.
“It is by supporting entrepreneurs dedicated to meeting the challenge of putting raw materials back into circulation that we can rethink the production chain and thus reduce our greenhouse gas emissions.”
With this second closing, Fondaction will be able to help more companies that want to optimize the use and recovery of resources as well as the reduction of residual materials and greenhouse gas emissions, explains Marc-André Binette, assistant chief investment officer at the investment fund.
“We are pleased to have wise financial partners who have made the circular economy a major pillar in the fight against climate change,” he adds.
Getting involved in the city's ecological transition
Since the EC Fund was deployed, four companies (Still Good, Groupe Onym, Ferme Tournevent and CarbiCrete) have received an investment from the Fund to increase their production, open a new plant, increase research and development and test an innovative product.
These companies operate in different sectors, such as agri-food, recycling, resource recovery and eco-construction, but their missions are all part of the circular economy concept.
According to the Pôle québécois de concertation sur l'économie circulaire, this economy is closely linked to practices that optimize the use of natural resources in order to reduce the environmental footprint and contribute to the well-being of the population.
By creating the EC Fund, Fondaction and its partners are investing for the future and these two new investors open up new investment opportunities for the EC Fund and fuel the development of responsible and sustainable innovations.
Find out more about the Circular Economy Fund (CE Fund).