VERDEX AGRIFUND
Unleashing Agricultural Innovation
The seasonal nature of agriculture and the long validation and adoption cycles are particularly challenging for AgTech startups. The extended time required to achieve market traction may not fit standard venture capital investment cycles. AgTech startups need more patient risk capital to overcome these challenges.
Verdex AgriFund addresses the need for patient capital
AgriFund is a co-investment fund which invests in early-stage AgTech and FoodTech companies with the potential to solve substantive market problems relevant to the Canadian agricultural sector.
We invest in companies at the Seed and Series A stage, with a focus on helping them progress through building minimally viable products, achieving product-market fit, expanding operations, and establishing the customer base required to achieve further growth. We have a preference for Canadian domiciled companies, but will consider companies from outside of Canada.
We require that companies have already secured an eligible lead investor.
For details about AgriFund and how we assess fit, please review our frequently asked questions. If there’s a good fit and you’ve lined up a lead investor, please reach out.
AgriFund FAQs
Verdex AgriFund invests risk capital into Seed and Series A stage companies. AgriFund is a co-investment fund, meaning that we invest alongside trusted lead investors.
AgriFund will co-invest when there is a qualified lead investor. Generally, this will be a venture capital fund, although it could be a strategic or a sector-focused family office.
No. AgriFund will only invest when an eligible investor is leading a financing.
- Companies deploying innovative technologies that Advance Canadian Agriculture across the entire value chain.
- We do not invest in forestry, cannabis, or consumer packaged goods.
We start due diligence once a lead investor has been secured, so best practice is to secure your lead, and then contact us directly or via your lead investor.
AgriFund invests patient capital into its portfolio companies. The open-ended exit horizon provides more latitude on timing for return of capital.
As an institutional investor with a long history of investing risk capital into innovative agricultural opportunities, Verdex provides credibility, which can be helpful for validating an opportunity to other investors. As a co-investor, AgriFund partners with eligible lead investors to help opportunities get appropriately capitalized.
AgriFund invests up to $500,000 into Seed financings, and up to $1,000,000 into Series A financings.
We will not exceed the capital being invested by the lead investor in any given financing, and we limit our cumulative investment into any portfolio company to a maximum of $1,000,000.
Selectively. Any follow-on investment will be made on its own merits, and with consideration for participation by others.
We’ll generally follow the terms and conditions of the lead investor. However, we will assess those terms to make sure that they align with our expectations for financial and governance terms and certain shareholder rights. At certain levels of investment, AgriFund may seek board and/or observer rights. Information rights is something we require of any portfolio company.