Radical Ventures has closed a new late-stage growth fund, the Radical Breakouts Fund, raising over $1 billion. This marks the largest venture capital raise in Canadian history. The firm intends to increase the fund's total size to as much as $4 billion in the future.
The fund is backed by major Canadian institutional investors, including the Public Sector Pension Investment Board, Canada Pension Plan Investment Board, and the Healthcare of Ontario Pension Plan. Additionally, banks such as TD and BMO have committed capital to the initiative.
The firm plans to issue checks of up to $250 million per company, with an initial target of approximately 12 investments. This strategy aims to support domestic AI companies and prevent them from relocating to the United States to secure growth-stage funding.
With this new fund, Radical Ventures' total assets under management have reached approximately $2.5 billion. This is an increase from the $800 million fund the firm launched in 2024. The firm's existing portfolio includes companies like Cohere, Waabi, and Xanadu.
