Private Placements are on the rise

According to aggregate information gathered by investor services, Canada has seen a rapid growth of private placements over the last year.

According to aggregate information gathered by investor services, Canada has seen a rapid growth of private placements over the last year. Estimates shown the total value of private placements in 2020 (including both public and private companies) at $37.4B with 8% increase from the previous year. Remarkably, there was a 107% increase in the value of non- brokered private placements, pointing to, among other things, a sign of increased investor confidence. This is primarily driven by macroeconomic issues, industry trends, investor appetite and alternative investment tendencies. Furthermore, innovative approach in the private placement space, such as websites and platforms connecting investors to companies looking to raise money. There's also focus on streamlining the process of private placements to become less manually-intensive.


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