Equity financings in Canada posted strong results in the third quarter, with $15.2 billion in capital raised, up 5% from Q2 and more than doubled from the same period last year, the Investment Industry Association of Canada reported on Monday.

The strong showing, however, was in large part due to a multi-billion dollar offering from Barrick Gold late in the quarter. Excluding this deal, financings would only total $10.9 billion, a 24% drop from Q2.

With nearly $44 billion in equity financings reported through the first nine months of the year, issuance is on pace to surpass 2007’s record level of $55 billion, the IIAC said.

A total of 734 equity offerings were completed in Q3. Of the offerings, 84% were underwritings under $10 million. Small equity financings have dropped significantly, resulting in a 35% decline from the first nine months of 2008 and 60% for the same period in 2007.

After a stellar start in Q1, preferred share issuance has also slowed down considerably with only $1.3 billion in financings recorded for the year. The IIAC said this is largely due to reduced offerings from financial institutions, which shored up their capital base in previous periods.

Common equity financings reported their largest quarterly issuance on record with $12.2 billion – an increase of 37% from Q2. A revitalized IPO market helped elevate issuance activity with $1.5 billion posted during the period – its largest quarterly issuance since Q4/07. Secondary offerings represented the bulk of common equity financings, accounting for 69%.

Common equity financings during the third quarter were mostly concentrated in the mining sector, which represented 60% of issuance. The financial and oil and gas sectors were not as active as in previous quarters, each representing 9%.

Looking ahead to the fourth quarter, equity markets have continued their upward trend, and the IIAC expects financing activity to follow suit.