In late 2014 the TMX Group launched TSX Private Markets, a new business that offers capital raising and trading services to provide public and private companies the opportunity to access capital in early stages of development in Canada's exempt market.
Companies and investors that participate in TSX Private Markets services have access to:
- Exempt market capital raising for public, private, domestic and international companies;
- Secondary trading of exempt market securities;
- Facilitation of public company private placements; and
- Secondary trading of public company "hold period" securities that are issued pursuant to a private placement.
Companies that may be interested in TSX Private Markets include those seeking enhanced liquidity of securities and access to private market capital. Investors that may be similarly interested include those seeking enhanced liquidity of securities as well as expansion of their portfolio to include exempt market offerings not otherwise available to most investors.
Only certain market participants are able to access TSX Private Markets services. The participants that are eligible to apply to receive status as an approved participant include IIROC member dealers, exempt market dealers, as well as fund managers, portfolio managers, and institutional permitted clients, provided that the latter three transact through an IIROC dealer or an exempt market dealer.
Individual investors may participate in TSX Private Markets through an approved participant that is also registered as an IIROC member dealer or an exempt market dealer provided that the individual investor meets the requirements of at least one of the applicable exemptions for the relevant securities available under National Instrument 45-106 Prospectus and Registration Exemptions (for an update of significant amendments to National Instrument 45-106 and its Companion Policy effective May 5, 2015 please see BLG's previous Bulletin.)
The content of this article is intended to provide a general guide to the subject matter. Specialist advice should be sought about your specific circumstances.
