# SOFIAC

Startup profile on Capital Atlas: https://capitalatlas.ai/startups/sofiac

- Industry: Financial Services
- Headquarters: Montreal, Canada
- Website: www.sofiac.ca
- Total disclosed funding: $31M
- Latest round: Seed (Sep 15, 2021)
- Investors on record: 2

## About

SOFIAC is a Canadian company focused on developing, managing, and investing in decarbonization projects and energy-efficient renovations, primarily serving commercial, industrial, and multi-residential sectors across Canada.Founded in 2020, SOFIAC is headquartered in Montreal, Canada, and specializes in energy efficiency solutions. The company has successfully completed 3 deals, with its most recent deal closing on December 1, 2023. In this round, SOFIAC raised EUR 60.00 mn from investors including Mirova, Ademe Investissement, and Fondaction CSN, bringing its total amount raised to EUR 60.00 mn. SOFIAC was established by individuals with a focus on sustainability, reflecting the founders' commitment to addressing energy consumption challenges in urban centers.SOFIAC specializes in developing, managing, and investing in decarbonization projects and energy-efficient renovations targeted primarily at commercial, industrial, and multi-residential sectors in Canada, along with various municipalities in Quebec. Their core offerings include a comprehensive energy efficiency solution that encompasses the full lifecycle of energy projects, from planning and implementation to performance monitoring. The unique aspect of SOFIAC's service model is that clients face no upfront investment; instead, project costs are recuperated through a share of the savings generated post-implementation. This solution is particularly appealing to clients such as Canadian businesses and local governments seeking to enhance their sustainability efforts while maintaining positive cash flow from day one. SOFIAC operates across various regions in Canada, focusing on urban centers with significant energy consumption challenges such as Montreal and Quebec City.SOFIAC's revenue model is built around performance-based financing where costs are recovered through a portion of the energy savings realized by clients post-project implementation. Under this model, the company engages in partnerships with clients, including municipalities and educational institutions, to facilitate large-scale decarbonization initiatives. For example, in a typical transaction, SOFIAC invests upfront in energy-efficient renovations, and as the client experiences reduced energy costs, a predetermined share of these savings is directed back to SOFIAC to cover project costs. This mutually beneficial structure allows clients to improve energy efficiency without incurring financial burdens while SOFIAC generates revenue through successful project outcomes, with specific pricing structures and terms tailored to each partner's financial capabilities and sustainability goals.In December 2023, SOFIAC raised EUR 60.00 mn, which will be utilized to strengthen its presence in the territory and develop a comprehensive network to support numerous projects. The company aims to expand its operations into new geographic regions, focusing on further penetrating the Canadian market by enhancing its offerings and scaling its project reach. The recent funding will facilitate the launch of new products aimed at improving energy efficiency and decarbonization efforts, aligning with their strategic vision to address growing sustainability demands in Canada.

## Funding rounds

- Seed, Sep 15, 2021, $31M — Fondaction CSN, Desjardins Global Asset Management

## Investors

- Fondaction CSN — Seed
- Desjardins Global Asset Management — Seed