A carbon management firm based in Alberta is looking to raise up to $300 million through senior secured convertible notes in order to build a blockchain-based treasury and launch a tokenization platform for sustainability-linked infrastructure.
Founded in 2021, DevvStream’s mission is to “create alignment between sustainability and profitability,” helping organizations achieve climate initiatives while also improving their financial health.
The Calgary-born startup, which recently completed an initial funding of $10M, says that most of the proceeds raised will go toward the purchase of liquid digital assets.
“This $300 million facility allows us to improve capital efficiency, reduce dilution, and bring global investors into the carbon ecosystem through a digital gateway,” stated Sunny Trinh, chief executive officer of DevvStream.
This latest strategy from DevvStream is expected to provide opportunities to generate multiple revenue streams, including staking yields, while reducing reliance on equity financing through crypto-backed credit options, according to Trinh.
“The combination of crypto reserves and real-world asset tokenization represents the next evolution of our capital strategy,” the CEO said.
The publicly traded DevvStream, which operates a portfolio consisting of carbon sequestration credits for sale to corporations and governments seeking to offset emissions, also collaborates with industry partners to deliver end-to-end solutions.
For example, the Canadian cleantech recently struck a deal with Energy Efficient Technologies, a seasoned engineering firm that reduces electricity use in commercial buildings.
“We believe EET’s proven record of double-digit energy savings positions us to unlock a high-value stream of efficiency-based credits and cost-sharing revenue,” commented Trinh in June. “By layering shared savings on top of carbon- and I-REC monetization, we anticipate further diversifying DevvStream’s income while helping businesses cut costs and emissions.”
DevvStream is “actively exploring the tokenization of its existing environmental asset portfolio” and “anticipates further announcements” as its platform evolves.