PwC: survey says $1 billion surge redeems 2012 Canadian IPO market

By Rob Starr, Content Manager, Big4.com

The annual survey of Canadian equity markets by PwC has revealed that a $1.3 billion surge of new equity issues in the fourth quarter helped turn around the 2012 Canadian IPO market and raises hopes for growth in 2013.

Only 12 new issues made it to the TSX in 2012 for a total of $1.7 billion, the PwC survey showed. In 2011, 15 IPOs debuted on the TSX with a value of just less than $1.8 billion. The TSX Venture hosted 44 IPOs in 2012 with proceeds totaling $107 million, compared to 45 new issues worth $214 million in 2011.

The $365 million IPO of retailer Hudson’s Bay Company in the fourth quarter was the largest of the year. The $301 million raised by mining company Ivanplats Limited was the second largest and the biggest new offering of the year from the minerals sector, also in the fourth quarter. Argent Energy Trust raised $212 million in the third quarter, the largest IPO from the energy sector.

PwC has conducted its survey of the IPO market in Canada for more than 10 years. The reports are issued on a quarterly basis to provide information to the corporate sector, investors, the media and others that will help them put the market into better perspective.