Summary of The Logic’s $4M Capital Raise
TLDR:
- A $4-million capital investment will accelerate The Logic’s growth on both its editorial and business sides
- FT Ventures, a corporate cousin of the Financial Times, led the investment round
The Logic, a digital news publication covering Canadian business and public policy with a focus on the innovation economy, announced a fundraising round totalling $4 million in equity and debt. The lead investor in this round is FT Ventures, a corporate cousin of the Financial Times, a renowned news organization. The investment will fund expansions of both editorial and business operations at The Logic, which was launched in 2018 by CEO and editor-in-chief David Skok. The site has 21 permanent staff and reporting bureaus in major Canadian cities.
The deal with FT Ventures includes expertise from the team that transformed the Financial Times into a profitable digital business. The investment is seen as a validation of The Logic’s mission in providing quality journalism worth paying for. The Financial Times’ involvement is expected to enhance The Logic’s value, with FT Ventures naming a director to the board.
Previous investors Relay Ventures and Four Cornerstones Capital, along with new investor Roynat Capital, also participated in The Logic’s latest funding round. The involvement of Roynat Capital, a subsidiary of Scotiabank, will not affect The Logic’s journalism, as newsroom operations remain independent from business operations.
The Financial Times’ business model, based on subscriptions and quality journalism, aligns with The Logic’s principles. The investment from FT Ventures will provide The Logic with valuable insights on growing in the current media landscape. The Logic’s board chair emphasized the importance of quality reporting, Skok’s leadership, and the value of journalism to democracy in attracting investors.
