Pension fund manager PSP in talks to co-lead investment in AI company Cohere: report

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Potential funding from investment board would value Cohere at more than 200 times revenue

The Public Sector Pension Investment Board in Ottawa is in talks to co-lead an investment in Toronto-based artificial intelligence company Cohere Inc. at a US$5-billion valuation, according to a report by The Information, even as the pension manager’s previous bet on a hot technology sector has yet to pan out.Cohere, which is seeking to raise at least US$500-million, is bringing in only US$1.8-million per month.

D-Wave has repeatedly failed to meet its revenue forecasts since going public in 2022. It recently announced steps to boost revenue, underscoring the challenges of translating breakthrough science into a commercially viable business. D-Wave’s net loss of US$82.7-million for the year dwarfed its revenues. The company had US$41.3-million in cash, US$20-million in remaining capacity under its PSP loan and US$82.1-million in available financing through an equity line of credit as of Dec. 31.

 

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