Canada’s initial public offering (IPO) market appears to be undergoing a resurgence, according to a new report from PricewaterhouseCoopers LLP (PwC).

There were three new issues on the Toronto Stock Exchange and three debuts on the TSX Venture Exchange (TSXV) in the first quarter (Q1) of 2017 that raised a combined $571 million, which represents the second best start to the year over the past 10 years, the PwC report states.

In comparison, that’s way up from the mere $600,000 raised during Q1 2016 and more than double the average of $250 million for Q1 fundraising during the past 10 years.

In addition to the positive results in terms of the volume and value of deals, on a qualitative basis, the PwC report notes that the new listings also signal the rise of innovation in the Canadian market.

“In their own way, the three headline IPOs on the TSX represent innovative companies catching the interest of investors and being rewarded for their efforts,” says Dean Braunsteiner, national IPO services leader with PwC. “Freshii Inc. and Canada Goose Holdings Inc. are successful consumer product companies with strong brands and a mature approach to profitability and expansion. In the previous quarter, we saw clothing retailer Aritzia win good market acceptance. They’re all innovators in their categories.”

At the same time, the three new issues from mining companies on the TSXV does not necessarily hail an end to the financing difficulties facing junior miners generally, the PwC report suggests.

“We need to see the support of better commodity prices before we can see a solid future for this market,” Braunsteiner says.

The PwC report also suggests that IPOs in the technology sector “may have to wait until 2018.”

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