La Société générale de financement du Québec (SGF)

This document was prepared with the information on the Société générale de financement du Québec's Web site.

The Société générale de financement du Québec (SGF) provides development capital for businesses. With a focus on the long-term economic growth of Québec, the SGF aims to promote growth-generating investments within industrial clusters and niches of excellence, enabling Quebec to position itself advantageously in international markets.

Eligibility Criteria

Selected projects must offer :

• Be innovative
• Have high job-creation potential
• Be connected to a growth sector and be cost-effective
• Have substantial technological content or present added value
• Require a minority, non-core participation by SGF (maximum 50%)

Eligible Activities

The SGF has funds to support cost-effective projects that will contribute to the Quebec economy. These projects could include:

• The establishment or development of industrial projects
• Partnerships centred on technology transfer or the marketing of new technologies
• Marketing mandates with technological implications (exports involving local partners or a foreign subsidiary doing business in Québec)
• Establishment of a pilot plant and start-up of the commercial phase
• Strategic acquisition of interest

Summary

The SGF's mission is to invest, under normal conditions of profitability, together with private-sector partners, in projects that help stimulate the growth of the economy of Quebec and its regions, increasing productivity and boosting competitiveness in all their markets to advance the sustainable economic development of the entire province.

SGF invests through equity interest, primarily in the following sectors: chemicals, energy and environment, Mining, metals and materials, forest product, life sciences, information and communications technologies and agri-food.

SGF works as readily with small enterprises able to demonstrate the viability of their projects as with established multinationals. As a general rule, the SGF’s investments are intended for projects with total costs of $10 million or more. Projects requiring smaller investments may also be considered if they show high growth potential.  SGF analyzes each proposal on its own merit.

In addition, to help partners get started, the SGF assists them in:

• Finding complementary financing;
• Obtaining tax credits and various grants;
• Accessing relevant government programs.

The SGF generally invests in projects requiring an investment of $20 million and up (with the exception of certain projects in the agri-food, forestry, and mining sectors).  The average participation of SGF is between 20 and 30% of share ownership.   To support regional economic development, SGF may invest in smaller-scale projects in the agri-food, forestry, and mining sectors

For more information, consult the Web site at http://www.sgfqc.com/en

Quebec Contact(s):
Société générale de financement du Québec (SGF)
Suite 1500
600 de la Gauchetière West
Quebec  H3B 4L8
Telephone: 514 876-9290
Fax: 514 395-8055
E-mail: info@sgfqc.com