The Globe and Mail reports in its Tuesday, Sept. 8, edition that significant volatility and a steep sell-off in global equity markets bode ill for the Canadian initial public offering market this fall, says Canaccord Genuity Group senior investment banker Sanjiv Samant. The Globe's Niall McGee writes that Mr. Samant says,
"A lot of issuers have seen the recent market volatility and they've questioned what the right timing is [for an IPO]." Mr. Samant says many good companies are sitting on the sidelines. The Canadian IPO market ignited in the second quarter of 2015, with hot demand for Cara Operations, Shopify and Stingray Digital Group.
Mr. Samant says, "It was a great first half of the year in the IPO market."
The ebullience did not last. In June, Mogo Finance Technology sold off on its first day of trading. Ditto for Sleep Country Canada Holdings, which came to market in July. Mr. Samant says,
"The first sign of healthiness in the IPO market would be some of these deals that have happened in June and July actually start trading above issue price."
Canaccord is sitting in eighth place in the much-followed equity offerings "league tables," which ranks investment banks by revenue.
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