Canada-based venture capital fund McRock Capital is preparing to close its debut fund after securing backing from energy utility EDF yesterday.
McRock will operate as a dedicated industrial internet of things (IIoT)-focused fund, and expects to reach its $65m target in August, managing partners Scott MacDonald and Whitney Rockley told PE Hub Canada.
EDF joins networking technology provider Cisco Systems, the first strategic partner to be attracted by McRock, and fellow limited partners including Alberta Enterprise, BDC Capital, Kensington Capital, Teralys Capital, Export Development Canada and Wilson Sonsini Goodrich & Rosati.
Teralys and Cisco Investments, which acts as Cisco’s corporate venturing unit, committed capital to the fund in January this year. Cisco’s involvement came in the wake of its announcement in June 2014 that it planned to commit $150m to the Canadian startup space.
MacDonald said: “Given EDF’s global footprint, strong focus on innovation and interest in the IIoT, EDF is a very attractive innovation partner and potential customer for McRock’s growing portfolio of IIoT companies.”
François-Xavier Roussel, senior vice president of performance & innovation, for EDF, said: “We are happy to develop this partnership with McRock’s experienced team. Its exclusive focus in the IIoT sector will provide EDF Group with a unique source of collaboration opportunities between innovative startups and EDF business lines from power generation to electricity transmission.
“It will also constitute an effective platform to test the most recent IIoT innovations that could improve energy usages of our industrial customers.”