This week, Mistral Venture Partners announced the close of their first round of venture capital funding.
The fund was originally slated to close at $10 million, but managing director Code Cubitt revealed the fund was impressively oversubscribed: its overall target is now $35 million.
Mistral is the first new fund to close in Ottawa in more than a decade. Upon the launch of Invest Ottawa 11 months ago, the organization's CEO, Bruce Lazenby, identified the shortage of venture capital as a major challenge for the City's lead economic development corporation.
"Bruce made this a top priority for the Invest Ottawa team and took the lead in selling the concept of a new fund in Ottawa," noted Cubitt. "After meeting with Bruce and Mayor Watson and looking closely at the investment opportunities in the city, it was clear to me that there is great potential in Ottawa."
The fund was announced in July of 2012 and closed its first round in less than six months.
"This is tremendous news for Ottawa's startup community and a key component for growth for our knowledge-based businesses," said Ottawa Mayor Jim Watson. "Crucial investment dollars for our emerging companies will lead to job creation and sustainable economic development."
"The establishment of Mistral Venture Partners and the close of its first round in record time is a good signal that Ottawa is getting more dynamic," added Lazenby. "Investors and startups alike are going to want to be a part of what's happening here. We are building the right ecosystem to cultivate the next generation of success stories."
Mistral will begin looking at local startups that need first or second round funding. Deal activity is expected to begin early this year.