CPE News (2/1/2021) – MacKinnon, Bennett & Company Inc. (MKB) has held an initial close for MKB Partners Fund II, securing $100 million in capital commitments from Business Development Bank of Canada (BDC), Caisse de dépôt et placement du Québec (CDPQ), Investissement Québec (IQ), Fonds de solidarité FTQ, Fondaction, Vancity, and family offices and private investors.
Davies Ward Phillips & Vineberg LLP acted as legal counsel to MBK.
The $150 million targeted fund will invest in late-venture and early growth-stage companies focused on the decarbonization and electrification of energy and transportation. Fund II will partner with outstanding management teams using technology and business model innovations to accelerate the energy transition.
Fund II has already closed two investments. MKB structured and led a $53 million Series C financing in AddEnergie. Fund II also invested in a US $35 million Series B in Ample.
Fund II is being led by Kenneth MacKinnon, Antonio Occhionero, Chanel Damphousse.
photo credit: MKB
News Release
MKB Launches $150 Million Fund Focused on Accelerating the Energy Transition
MONTREAL, QUEBEC – FEBRUARY 01, 2021 – MKB is pleased to announce the first close of its second specialized fund, the MKB Partners Fund II, LP (“Fund II”). The $150 million fund will invest in late-venture and early growth-stage companies focused on the decarbonization and electrification of energy and transportation. Fund II will partner with outstanding management teams using technology and business model innovations to accelerate the energy transition.
Fund II closed on commitments of $100 million and is pleased to welcome both returning and new investors. The investor syndicate was led by the Business Development Bank of Canada (BDC), Caisse de dépôt et placement du Québec (CDPQ) and Investissement Québec (IQ). Fonds de solidarité FTQ, Fondaction and Vancity as well as a group of prominent family offices and accredited investors have also invested.
“We are grateful for our investors support, trust and confidence, particularly as we navigated this fundraise in the midst of the current pandemic,” said MKB Co-Founder and Managing Partner, Ken MacKinnon. “MKB made its first investment in the renewable energy sector ten years ago. It has been an active and rewarding decade of helping world class management teams build successful growth businesses. Our investments have enabled hundreds of millions of dollars of total investment in these companies. We are humbled by our learnings along the way and intend to build on this experience to make a positive and sustainable contribution to a healthier planet while at the same time continuing to generate profits for our investors. The MKB team and I would like to thank BDC Capital, Fonds de solidarité FTQ and our other returning investors for their early and continued support”.
Fund II has already closed two investments that are poised to drive transformational change in the electrification landscape. AddEnergie is a leading North American charging network operator for electric vehicles and a major provider of smart charging software and equipment for whom MKB structured and led its $53 million Series C financing. Fund II also invested in a Series B US$35 million financing in Ample, an innovative smart modular battery and automotive technology company focused on accelerating electrification of fleets for ride hailing and depot customers.
“BDC Capital is pleased to be once again an anchor LP to MKB Partners Fund II, as we did in Fund I. MKB’s focus on growth stage cleantech opportunities addresses a growing need in the Canadian market for smart capital to help scale Canadian cleantech firms into new markets and verticals globally. We believe Canada has all the ingredients to be a cleantech powerhouse and working with partners such as MKB will help us achieve that goal.” – Jérôme Nycz, Executive Vice President, BDC Capital.
“We are delighted to invest in MKB’s latest fund and work with its seasoned team that over the years has demonstrated its deep understanding of renewable energy, sustainable transportation and smart cities. This investment is in line with CDPQ’s strategic directions, which aim to invest in promising innovative sectors, especially in low-carbon activities.” – Kim Thomassin, Executive Vice-President and Head of Investments in Québec and Stewardship Investing at CDPQ.
“Investissement Québec is very proud to participate in this initial closing for MKB Partners Fund II. Banking on the know-how of the management team, IQ gets directly involved with growing businesses that contribute to developing and showcasing Québec’s energy and transport expertise. With our partners in the financial ecosystem, Investissement Québec plans to continue supporting these players, which are working to build a greener, lower-carbon economy.” – Guy LeBlanc, President and CEO, Investissement Québec
“We are proud to once again partner with MKB, a seasoned team in sustainable and socially responsible investments. By investing in this second MKB fund, we are looking to stimulate a just environmental and energy transition by supporting the development of the clean energy, smart cities and eco-mobility sectors. This is how Fonds de solidarité FTQ is investing for a better society.” – Janie Béïque, Executive Vice-President for Investments, Fonds de solidarité FTQ
“The second MKB fund will both play a key role in developing sustainable technology in the clean energy, transportation and smart city sectors and have a significant impact on society. MKB and Fondaction consider that in order to be efficient, sustainable finance must support the energy transition by thoroughly integrating the ESG factors into the fight against climate change. This is how we contribute to the development of sustainable cities and communities.” – Marc-André Binette, Deputy Chief Investment Officer, Fondaction
“The arrival of this fund is excellent news for the sustainability of our natural resources, the protection of our environment, and the energy transition currently under way. This initiative corresponds with the vision that will guide our actions within the framework of the Plan for a Green Economy, which provides for $6.7 billion in investments in the next five years to achieve a 37.5% reduction in GHG emissions by 2030, compared with 1990 levels.” – Benoit Charrette, Minister of the Environment and the Fight Against Climate Change and Minister Responsible for the Laval Region
About MKB
MKB is a Montreal-based private investment firm that specializes in providing growth equity to the next generation energy and transportation sectors. MKB takes significant minority positions in its portfolio companies and proactively assists management teams in reaching their full potential. To learn more about MKB, visit www.mkbandco.com
Information:
Nikoo Asadi – Operations Manager
MacKinnon, Bennett & Company Inc.
514-983-6695 n.asadi@mkbandco.com