Toronto, June 2024 — Kensington Capital Partners proudly announces the final close of its $290 million Kensington Venture Fund III (“KVF III”). Continuing the firm’s hybrid investment strategy, KVF III will operate as a fund-of-funds, investing in top-tier venture capital funds, and as a direct investor in high-potential technology companies.
Launched under the Government of Canada’s Venture Capital Catalyst Initiative (“VCCI”), KVF III has attracted fresh capital from new and returning investors, including institutional investors, high-net-worth individuals, and family offices. Returning institutional investors include TD Bank, BMO Capital Partners and BDC, as well as several wealth management firms. The fund has been actively deploying capital since its initial closing in March 2023, and has completed commitments to nine VC funds and one direct investment to date.
“We are delighted to announce the successful final closing of our third Kensington Venture Fund, and we greatly appreciate the renewed support from all of our investors,” said Rick Nathan, Senior Managing Director of Kensington Capital Partners. “We are seeing exceptional opportunities for investment in emerging technology companies in the current market and we are excited to now renew our investment program.”
Kensington continues to review new investment opportunities for KVF III, targeting both venture funds and promising emerging companies. The portfolio strategy allocates 75% of the fund’s capital to top-performing venture capital funds, with the remaining 25% dedicated to direct investments in companies. The fund will primarily focus on the Canadian market, where Kensington has a robust 25-year investment history.
About Kensington Venture Fund III
Kensington Venture Fund III follows a hybrid investment approach, combining direct investments in emerging technology companies with investments in venture capital funds. The fund spans all stages of development, from early-stage Seed and Series A rounds to later-stage growth investments. This strategy ensures a diversified portfolio encompassing key technology subsectors such as artificial intelligence, industrial automation and robotics, cybersecurity, life sciences/healthcare, energy and sustainability technologies, software and tech-enabled services. The Fund’s portfolio will include investments in Canada and the United States, both as lead investors and as supporting syndicate members.
About Kensington Capital Partners
Kensington Capital Partners is a leading independent Canadian investor in alternative assets. Since its inception in 1996, and with offices in Toronto, Vancouver, and Calgary, Kensington has invested over $2.6 billion in private equity, venture capital, and other alternative assets. Kensington’s active management and relationship-driven approach have consistently delivered top-quartile returns for investors. Kensington is affiliated with AGF Management Limited, a $45 billion globally diverse asset management firm serving over 800,000 investors across public and private markets. For more information, visit www.kcpl.ca.