Apotex Health seeks to raise up to C$1.2 billion, potentially reviving Toronto IPO market
TORONTO, June 1 (Reuters) – Canadian healthcare company Apotex Health said on Monday it aims to raise up to 1.2 billion Canadian dollars ($868.06 million) in an initial public offering on the Toronto Stock Exchange in a deal that could help revive the country’s subdued IPO market.
Apotex said it is expected to offer between 41.7 million and 50 million shares at a price range of C$20 to C$24 for gross proceeds of C$1 billion.
The company said it raised approximately C$850 million by issuing new shares, while existing shareholders sold approximately C$150 million in shares as part of the IPO.
The IPO was one of the TSX’s first major offerings this year, following just a handful of listings in the past few years as companies eschewed the subdued market to seek new capital.
But renewed economic confidence and a rising TSX have contributed to the new interest, with companies in technology, natural resources and other sectors reconsidering their plans.
Toronto-based quantum computing firm Xanadu Quantum Technologies went public earlier this year through a merger with a special purpose acquisition company, listing on both Nasdaq and TSX, raising nearly $300 million.
The company stated that Apotex, which serves customers in approximately 70 countries in North and South America, has recorded a revenue increase of approximately 8% in the last four fiscal years, stating that this growth has been largely driven by its core generic pharmaceutical business, focusing on first-to-market products and expanding into higher value areas such as specialty generic drugs, brands and biosimilars.
Underwriters on the deal included RBC Capital Markets, TD Securities and Scotiabank. “BMO Capital Markets and Jefferies are joint bookrunners,” Apotex said in a press release.
($1 = 1.3824 Canadian dollars)
(Reporting by Nivedita Balu in Toronto; Editing by Chizu Nomiyama)
