Equity financings totalled a lofty $12.81 billion in the fourth quarter of 2005, up 0.9% quarter-over-quarter, according to a report from the Investment Dealers Association of Canada.
For 2005, total financings hit an all-time high of $48.9 billion, breaking the previous record of $47.8 billion in 2004 by 2.5%.
Surging oil prices last year helped fuel the trust sector and total financings, to a record high in 2005. However, the red-hot income trust market last year cooled considerably in the fourth quarter stemming from Ottawa’s controversial review of the trust structure in the autumn.
Common share equity issuance stood at $8.22 billion in the fourth quarter of 2005, up 52.4% from the third quarter but down 5.6% from Q4 2004. Common issuance was $22.01 billion in 2005, down 14.4% from 2004.
Income trust unit issuance totalled $3.06 billion in Q4 2005, down 48.6% quarter-over-quarter and down 50.5% year-over-year. For 2005, trust issuance totaled a record $20.2 billion, up 18.6% from 2004.
Preferred share financings reached $1.22 billion in Q4 2005, up 3.3% quarter-over-quarter and 75% year-over-year. For 2005, preferred financings totalled $5.146 billion, up 76.5% from 2004.
Volume on the Toronto Stock Exchange was $17.7 billion in Q4 2005, up 9.9% from Q3 2005 and 9.9% year-over-year.
Equity financings set new record in 2005: IDA report
Soaring trust sector fuelled by rising oil prices
- By: IE Staff
- February 7, 2006 February 7, 2006
- 11:25