FedDev Ontario Investment to Scale Up Three Waterloo Region Firms
$6.8 million for innovative companies to expand operations, reach global markets, and support nearly 130 jobs
April 24, 2019 – Kitchener, Ontario
The Waterloo Region is a recognized hub for innovation and is home to world-class companies. The Government of Canada is committed to making investments that both strengthen the regional economy and position Canada to be a global centre for talent, innovation and investments, creating good jobs across the country.
Today, the Honourable Bardish Chagger, Leader of the Government in the House of Commons and Member of Parliament for Waterloo, announced a combined FedDev Ontario investment of $6.8 million in three Waterloo Region firms that are poised to scale up to compete on the global stage. The announcement was made during a visit to XL Tool Inc., on behalf of the Honourable Navdeep Bains, Minister of Innovation, Science and Economic Development and Minister responsible for FedDev Ontario.
- XL Tool Inc. is receiving $750,000 to scale up operations and diversify to meet growing customer demand in the nuclear energy sector, positioning it to better compete in Canadian and international markets. FedDev Ontario's contribution will allow the company to expand its manufacturing facility by 10,000 square feet and acquire advanced manufacturing equipment to automate and streamline its production processes, creating efficiencies in cost and time. In addition, XL Tool Inc. expects to create 13 full-time jobs in Waterloo.
- Nasarc Technologies Inc. is receiving $2.8 million to commercialize its patented three-part automated welding tip cleaning and changing system. FedDev Ontario’s contribution will allow the company to acquire state-of-the-art equipment and resources to support automated production lines for the three new products. This project will enable the company to expand its product offerings in the North American, European and Asian automotive manufacturing markets, offering a solution that reduces production downtime significantly, and also improves both product quality and worker safety. Nasarc Technologies Inc. also expects to create and maintain 24 jobs in Waterloo.
- Magnet Forensics is receiving $3.25 million to support the development of the next generation of its digital forensics software tools used by police, national security and other public and private agencies around the world with investigative authorities. FedDev Ontario’s repayable contribution will allow Magnet Forensics to expand operations in Waterloo and Ottawa and create 92 skilled jobs.
Investments like these are part of the Government of Canada’s Innovation and Skills Plan, a multi-year strategy to create well-paying jobs for the middle class and those working hard to join it.
“Today’s announcement is another great example of the innovative spirit that is so deeply entrenched in this region. Unique capabilities, along with FedDev Ontario support, position these three companies—XL Tool Inc., Nasarc Technologies Inc. and Magnet Forensics—to scale up, diversify and compete in global markets, while creating a total of nearly 130 jobs in the region. Our Government is pleased to support companies that serve to strengthen both the local workforce growth and the local supply chain.”
- The Honourable Bardish Chagger, Leader of the Government in the House of Commons and Member of Parliament for Waterloo
“Our Government is laying the foundation for Canadians to become more competitive and succeed in the global economy. Today’s investment in the Waterloo Region is building on our competitive advantages, boosting economic growth and creating good, middle-class jobs for Canadians.”
- The Honourable Navdeep Bains, Minister of Innovation, Science and Economic Development and Minister responsible for the Federal Economic Development Agency for Southern Ontario
“XL Tool is grateful to receive federal funding support from FedDev Ontario. This funded project is providing us with the necessary equipment, resources, and confidence to grow XL Tool’s business of manufacturing in the nuclear sector.”
- Gord Jokic, President, XL Tool Inc.
“Nasarc Technologies is pleased to be a recipient of Government of Canada, funding through FedDev Ontario, as part of a significant investment we have planned over the next several years to expand our offerings and compete on a global scale. This funding will help drive plans for new products and advanced manufacturing systems, as well as the addition of new talent, positioning the company for significant growth opportunities.”
- Naseem Kteily, President and Chief Executive Officer, Nasarc Technologies Inc.
“The Government of Canada’s investment in Magnet Forensics will allow the company to accelerate the development of essential tools for police agencies to investigate cyber-enabled crimes, such as human trafficking, child sexual exploitation and terrorism.”
- Adam Belsher, Chief Executive Officer, Magnet Forensics
The Waterloo Region is a global centre of talent, growth, innovation and discovery, boasting the second highest density of start-ups in the world, along with the headquarters of some of Canada’s largest technology companies and development offices for leading global brands.
XL Tool Inc. is a designer and manufacturer of tooling and metal stamping dies that machine complex parts for the nuclear, automotive, and oil and gas industries.
Nasarc Technologies Inc. is a manufacturer of robotic metal inert gas (MIG) welding products primarily for the automotive sector.
Magnet Forensics develops software solutions that allow investigators to acquire, manage, analyze and report on digital evidence from smartphones, computers, IoT devices and cloud-based services.
This year marks 10 years of FedDev Ontario delivering funding and business services to support innovation and growth in southern Ontario. Since inception in 2009, FedDev Ontario has invested almost $2 billion in the region’s economy, with more than 31,000 jobs created and maintained over the past five years.
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