Industrial lighting manufacturer Nemalux of Calgary secures financing from BDC Capital to expand into new markets
CALGARY, December 6, 2019—Nemalux, a manufacturer of industrial lighting fixtures for hazardous and harsh locations, has secured non-dilutive financing from BDC Capital’s Growth & Transition division. A first portion of the funds are already being applied to the manufacturing and marketing of five new product lines of high-efficiency LED fixtures and the expansion of overall sales efforts. From humble beginnings in 2003 in one of its founders’ garage, Nemalux has grown to a company with over 20 employees, 13 product lines and a modern manufacturing and sales facility in Calgary, Alberta from which it serves clients across North America.
BDC Capital’s funding comes in the form of a patient mezzanine loan provided in two tranches: The first being earmarked for the launch of the new products and general sales and marketing, and the second, as needed, for working capital to sustain Nemalux’s growth efforts from then on. Careful modelling and close collaboration with the management team by BDC Capital have resulted in a personalized loan structure adapted to the company’s repayment capacity.
“Working with the team at BDC Capital has been a very positive experience. From the very beginning it was clear that the mandate of supporting Canadian companies in accessing international markets was a key deliverable for the BDC Capital team,” says Samuel Pogosian, CEO of Nemalux. “Nemalux is looking forward to a long-term successful cooperation and, in its 16th year of existence, will continue to add value to the Canadian economy and its investors.”
This transaction was led at BDC Capital by Scott Parslow, Director, Growth & Transition Capital for the Calgary region. “With tireless devotion to their craft, Nemalux’s engineers have developed industrial lighting fixtures that are far superior to what’s currently available, and more affordable,” remarks Parslow. “Thanks to this expanded range of products, a ramped up sales and marketing program and its qualified management team, we believe Nemalux is now well positioned to capture market share.”
Nemalux is a primary supplier of industrial grade LED luminaires that are designed and manufactured in Canada. We provide products that improve safety, decrease environmental impacts and increase operational efficiency for our clients. Delivering exceptional customer service and valuable design input is a must for all our projects.
About BDC Capital
BDC Capital is the investment arm of BDC, the bank for Canadian entrepreneurs. With over $3 billion under management, BDC Capital serves as a strategic partner to the country’s most innovative firms. It offers businesses a full spectrum of capital, from seed investments to growth equity, supporting Canadian entrepreneurs who have the ambition to stand out on the world stage. Visit bdc.ca/capital.