Teralys Capital

Their thesis, in full

Teralys Capital is a fund-of-funds and limited partner, not a direct startup investor: it does not take direct pitches from founders for a financing round and invests in companies only as a co-investor alongside its partner funds. Instead, Teralys commits capital to the venture capital and growth funds that, in turn, back startups across information technology, life sciences, and clean or industrial innovations. Founded in 2009 and based in Montreal, it is Canada's largest and only fully independent innovation-focused institutional investor, with more than $2.5B in assets across five specialized fund-of-funds vehicles and a broad network of partner funds based in Canada and abroad. Its capital comes from anchors such as CDPQ, Fonds de solidarite FTQ, Investissement Quebec, BDC Capital (via the federal Venture Capital Catalyst Initiative), plus institutions like Beneva, Fondaction and Bpifrance. The practical takeaway for a founder is indirect but real: the way to benefit from Teralys is to raise from the Canadian, US and European VC managers it backs, because its commitments help those managers reach the fund sizes they deploy into startups. Rather than approaching Teralys, target its partner funds (Inovia, Georgian, White Star Capital, Information Venture Partners and others) that invest at company level.

Questions they usually ask

Have an answer ready for each one before the first call.

1. Can you demonstrate a differentiated, repeatable sourcing edge and a track record (or, for emerging managers, a credible proof of concept) supporting top-tier net returns?
2. What is your fund size, target stage and cheque size, GP commitment and team stability, and how does a Teralys commitment help you reach a viable fund size?

Follow-on

Teralys supports the innovation ecosystem by anchoring and scaling the venture and growth funds that finance startups, not by investing in founders directly. Beyond capital, it backs Quebec seed-stage funds through its seed fund-of-funds, is launching a new program for emerging managers in Quebec, and co-invests occasionally into companies alongside its partner funds. Founders engage with Teralys indirectly, by raising from the managers it backs.