The best domestic tech IPO momentum of this century
If you haven’t been paying attention of late, you might not have noticed that the Canadian tech IPO window is as open as it has been this century.
Let’s review the most recent list in order (as best I can recall, anyway) of getting out the door:
March Networks (MN:TSX) – joint TSX / AIM offering
Constellation Software (CSU:TSX) – large, modest growth, profitable, impressive management; shares have traded up very nicely
Sandvine (SVC:TSX) – first dipped their toe on the AIM; then came back to the TSX; overnight success, despite many years of hard work; shares have traded up strongly
ESI Entertainment (ESY:TSX) – whacked by U.S. gambling laws
Redline (REDL:AIM) – AIM only; very modest share trading
Redknee (RKN:AIM) – no shares have traded since May 9th; that’s the AIM for you
Dragonwave (DWI:TSX) – Joint TSX and AIM listing; flat price post-IPO
Espial – in marketing right now; IPTV is a great space to be in right now (we invested via Bluestreak); buyside’s reaction to revenue size will be interesting
Rugged.com – in marketing right now
Terago – filed their IPO today
It’s a long list and it is breathtaking. It wasn’t that long ago that a single tech IPO (Workbrain) got the street excited. And to think some dealers are cutting back on their investment banking tech practices, in the face of this list!
And then there’s the treasury offering list: Descartes (decent bought deal), Intrinsyc (a portfolio co.; succeeded with a recent $20MM raise), Enablence (trying to raise $50MM from a TSXV base), etc.
Think of the dichotomy: the pool of venture capital in Canada is shrinking in every region other than Quebec, just as the tech IPO (and secondary) market is as robust as it has been since 1999.