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Types of Investment

AVAC accepts proposals from companies seeking investment in agrivalue™ and renewable resources ideas and innovation. Each application is reviewed for relative fit by AVAC for investment. In all cases, a formal investment proposal is submitted prior to AVAC initiating a formal review of the investment opportunity.

Pre-Commercial and Entrepreneurial Projects

Investments in private sector companies are made with the expectation that successful commercial ventures will reinvest in the associated AVAC seed capital funds. Normally, investment return is based on a royalty approach, calculated as a percentage of gross revenue of the client business, or of a specific new product or service.

Research & Strategic and Ag Research Initiatives

In addition to its investments in private companies, AVAC also invests in select public sector or industry initiatives in Agrivalue and Agriculture Research. To date, these enabling investments have included initiatives that provide broad public good benefits, such as support to formal education institutes, investments in the recruitment of lead scientists in targeted areas and investment in Ag Research programs), the Food Safety Initiative, as well as investments in more targeted research projects.

Early Stage Venture Limited Partnerships

AVAC has invested in three early stage venture capital Limited Partnerships to-date. These venture partnerships fit strategically with the objective to invest in Alberta's ICT, life sciences and other industrial technology sectors.