Canadian investment bankers enjoyed a double-digit increase in equity underwriting volume in 2015 but debt issuance slipped, according to a report published on Thursday by Thomson Reuters.
Canadian equity & equity-related issuance rose by 13.1% in 2015 to $42.6 billion in total proceeds from 232 deals, the report notes. Secondary offerings were up 16.9% year over year to $36.6 billion in proceeds from 200 deals, while preferred share issuance dropped 40% from the previous year.
More than a third of the equity issuance total came from the energy & power sector, according to the report, which generated overall equity proceeds of $14.7 billion during the year. Financials were a distant second, with $6.6 billion in proceeds; the materials sector ranked third.
RBC Capital Markets was the top equity underwriter for the year, according to the report, ranking first in the Canadian equity & equity-related, common stock, secondary offerings, and preferred share categories. CIBC ranked first in retail structured products, and BMO Capital Markets led the way for initial public offering (IPO) deals.
On the debt side, total proceeds declined by 4.1% from the previous year to $158.5 billion in 2015, the report says. Government and agency debt accounted for 54% of overall issuance, followed by financials at 32%, and the energy sector at 6%.
RBC Capital Markets also led the underwriting league tables for debt, placing first in the Canadian all debt, domestic corporate debt, and corporate Maple debt rankings, the report notes. National Bank placed first in government debt, and Bank of America Merrill Lynch led in Canadian cross-border issuance.
For the fourth quarter, equity issuance declined 6.3% from the previous quarter, and debt issuance dropped by 18.3%, the report says.