Canadian Income Fund Sector Comes of Age
|Area||Corporate and Commercial, Corporate Finance and Securities, REITs and Income Securities|
Amid a prolonged downturn in initial public offerings of conventional equity securities in North American and global markets in recent years, Canadian income fund IPOs, as well as follow-on financings, have enjoyed spectacular growth. Not only have income funds IPOs become a viable alternative to conventional IPOs and other traditional exit and liquidity strategies, but they have also become – in appropriate circumstances – the method of choice for maximizing returns to existing stakeholders of a business and achieving optimal cost of capital structures for the newly created public entity.
This article first appeared in Euromoney's Guide to the World's Leading Capital Markets Lawyers as the introduction to the Canada section pp. 33-34. Copyright belongs to Euromoney Institutional Investor.