CAUBO

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CAUBO
David Cox, CEO June 26, 2007
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TEC EdmontonThe Genesis
2004
ILO
Deal Gen, Venture Pz
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TEC EdmontonPrograms
TEC Centre
2007
Technology Transfer
Company Development
Deal Generator
Venture Prize
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Whats new about TEC Edmonton?

• Unique Joint Venture between University and
  Municipality
• Regional focus we want to capture more value
  from regional RD and keep it in the region
• Regional hub for public and private-sector
  alliances

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Who funds TEC Edmonton?

• University of Alberta 1M per year (min)
• Province 2M over 5 years
• Federal Government 2M over 5 years
• City of Edmonton 5M over 5 years, plus 7M
  towards Bay purchase/RTF
• Other agencies AHFMR, CIHR, CTI
• Private-sector sponsors 26

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Organizations 101

• First make sure you are doing the right things.

(Effectiveness)
And then try to do them right
(Efficiency)
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Doing the right things

• New joint venture changed the focus more
  company creation and development
• The philosophy is to capture the value of RD
  occurring in the region, for the region

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Doing the right things

• New joint venture changed the focus more
  company creation and development
• The philosophy is to capture the value of RD
  occurring in the region, for the region
• AndCrank up the volume!

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Doing the right thingsGet our priorities
straight

• Transfer inventions from local researchers to
  local companies
• Create new companies in the region
• License inventions to companies outside the
  region
• This is a significant departure from normal
  practice

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Doing the Right Things

• We have begun to cast the net wider to increase
  the supply of
• Intellectual Capital
• Human Capital
• Facilities
• Social Capital (connections)
• Financial Capital

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Sponsored Research Funding_at_ UofA (Millions)
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Cast the Net WiderIntellectual capital

• Working with non-UofA inventors
• 1st time ever in region
• New business relationships to increase deal flow
• BioAlberta
• TR Labs
• Capital Health
• NINT
• Shake the trees in the faculties

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Technology Transfer Measures and results
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Spin off companies

• 71 active spinoffs
• Over 1,000 highly skilled employees
• 8 publicly traded firms
• 1B market cap
• 86 of spinoffs are based in Alberta
• 83 headquartered in Edmonton

 

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New start up companiesApril 2007
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Candidate start upsApril 2007
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Cast the Net WiderHuman Capital

• Beefing up the Company Development team
• Key ingredients
• Executives-in-residence
• 4 in place
• Up to 3 more to come
• Market Analysts
• 2 in place, plus intern
• Commerce-savvy staff

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Cast the Net Wider Social Capital

• VenturePrize 2006-07
• Province-wide business plan competition
• Record-breaking year all round
• Deal Generator
• Now Canadas largest Angel network
• 9 forums to showcase groomed high-growth tech
  firms, 10M in offers of capital
• Ingenuity Enterprise 3.6M province-wide
  collaboration with UTI (Calgary)
• Record activities in networking and outreach
  events

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Venture Prize deal flow indicators, cf. same
time last year
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Cast the Net Wider Social Capital

• VenturePrize 2006-07
• Province-wide business plan competition
• Record-breaking year all round
• Deal Generator
• Now Canadas largest Angel network
• 9 forums to showcase groomed high-growth tech
  firms, 10M in offers of capital
• Ingenuity Enterprise 3.6M province-wide
  collaboration with UTI (Calgary)
• Record activities in networking and outreach
  events

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Deal Generator
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Cast the Net Wider Social Capital

• VenturePrize 2006-07
• Province-wide business plan competition
• Record-breaking year all round
• Deal Generator
• Now Canadas largest Angel network
• 9 forums to showcase groomed high-growth tech
  firms, 10M in offers of capital
• Ingenuity Enterprise 3.6M province-wide
  collaboration with UTI (Calgary)
• Record activities in networking and outreach
  events

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Ingenuity EnterpriseA program to increase
entrepreneurship in Alberta

• 3.6M program now underway
• EIRs, Student Entrepreneurship business plan
  competition, outreach, graduate innovation
• Funded by Alberta Ingenuity
• Planned, managed and executed jointly with UTI
  (Calgary)
• Management Board in place
• Includes 3 external expert members

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Cast the Net Wider Social Capital

• VenturePrize 2006-07
• Province-wide business plan competition
• Record-breaking year all round
• Deal Generator
• Now Canadas largest Angel network
• 9 forums to showcase groomed high-growth tech
  firms, 10M in offers of capital
• Ingenuity Enterprise 3.6M province-wide
  collaboration with UTI (Calgary)
• Record activities in networking and outreach
  events

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TEC Edmonton connects region
TEC Edmonton is a regional hub that connects
agents supporting innovation through referrals
and collaborations. Partnerships help make TEC
work.
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Cast the Net WiderFacilities

• Give our start-ups a home
• Research Transition Facility, soon to be TEC
  Centre
• Nourish them
• Company Development services
• Extend our reach new alliances with
• Edmonton Research Park (ERP) ATC
• National Institute for Nanotechnology (NINT)
• Northern Alberta Business Incubator (NABI)
• NAIT Duncan McNeill Centre for Innovation

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Cast the Net Wider Facilities

• TEC Edmonton is moving off campus
• Occupying entire 4th floor of Enterprise Square
  in October 2007
• TEC Edmonton and about 20 tenants to relocate
• Funding for Bay Building redevelopment
• City of Edmonton (7.5M)
• Province of Alberta (15M)
• U of A (49M)
• Government of Canada (15M)

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Cast the Net Wider Financial Capital - Help
technology ventures access capital

• Prepare them, polish them, present them
• Groundbreaking new AHFMR grant
• Unique Funding Agency Consortium very active
• Deal Generator facilitated 9.5M in financing
  offers
• VenturePrize awarded 210,000 (most ever) in cash
  and in-kind development support on May 3
• Seed fund

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Doing Things Right

• Business savvy and experienced management team
• Sound strategic plan and business processes
• Solid financial management and controls
• 2006/07 revenues (5.2M) matched by expenditures
• First ever audit in May
• Contemporary governance
• Private sector led Board
• Governance based on TSX model

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Members of the TEC Edmonton Board

• Gary Kachanoski VP(Research), UofA
• Allan Scott President CEO, EEDC
• David Cox CEO. TEC Edmonton
• Bob Teskey Field Law
• Nancy Harrison Former VC (Ventures West)
• Wayne Karpoff CTO, Yotta Yotta
• Rich Casey Former US Biotech CEO
• Chris Lumb CEO, Micralyne
• Bruce Johnson Former CEO Intuit Canada
• Doug Maley ADM, Western Diversification

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Challenges?

• Managing the interface with the stakeholder
  organizations
• Managing a high rate of growth
• Supply of management expertise
• Managing founders expectations

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• Questions?