$110 million close for Active Impact Investments’ third fund

Vancouver’s Active Impact Investments, the country’s largest climatech seed fund, has closed its third fund to the tune of $110 million. Fund III has already begun investing — including in Canada-based Jetson, Skyward, RIPTK, ThinkLabs AI — and the VC has promised to invest in an additional 18 companies. That will bring Fund III’s portfolio to 25 companies, principally based in Canada. 

Active Impact Investments’ founder and managing partner, Mike Winterfield praised Fund III’s “amazing investors” for stepping up to the plate at a time when he says divisive rhetoric on climate has caused some investors to leave the space entirely. Winterfield noted that receding investor interest goes against what the data suggests—that climatech is going to lead to positive financial outcomes. 

“Even better, we see Canada quickly emerging as a top destination for building climate tech companies with world-class affordable talent, strong public support, effective policies like IRAP and SR&ED, and globally respected and stable leadership,” Winterfield continued.

The investors he’s referring to include the fund’s co-anchors Northleaf Capital Partners (through its Canadian venture capital strategy) and Fondaction. They were joined by Boann, Co-operators Corporate Venture Capital Fund, Deloitte Ventures, and InBC. 

“We are proud to significantly increase our support to Active Impact, recognizing their leadership as one of Canada’s top VC impact investors,” said Louis de La Haye Duponse, deputy chief investment officer at Fondaction. “Their recent successful fundraise and carefully curated portfolio of high-impact environmental companies speak to their leadership in this sector. We deeply value the team’s transparency, accountability, and outstanding effectiveness in delivering both measurable impact and strong performance.”

Fondaction was also an investor in Active Impact Investment’s Fund II, which closed at $54 million back in 2021. Since then, the fund has invested in 17 companies, including Sustain.Life, a company providing carbon management software. Sustain.Life was acquired by Workiva for $100 million in 2024. 

“Active Impact was one of our earliest believers and has stood by us through every high and low,” said Annalee Bloomfield, Sustain.Life’s founder. “When SVB collapsed, they were on the phone with us until midnight all weekend, helping navigate options to keep the business moving and ensure we could make payroll. Through every fundraising round, they were hands-on — from refining our process and materials to opening doors. They are an exceptionally kind, driven team, always thinking about how to help their portfolio companies succeed. I’m proud to now be an LP in Fund III and excited to keep building the future alongside them.”

Active Impact Investments was founded in 2018 and has invested in 39 companies across North America, exiting seven via acquisitions, including Sustain.Life. Three of those exits took place in 2024.