TORONTO, March 25 TMX Group Ltd, the
operator of the Toronto Stock Exchange and the TSX Venture
Exchange, said on Tuesday it plans to launch a new business to
allow capital raising and the trading of securities of privately
Toronto-based TMX said the new business dubbed TSX Private
Markets will serve companies throughout their evolution from the
start-up stage, and further down the road.
"Working with registered dealers, the launch of TSX Private
Markets will assist private companies in accessing capital in
the key early stages of their development," said Kevan Cowan,
the president of TSX Markets and group head of equities at TMX
Group, in a statement.
The move to launch the business appears to be a pre-emptive
gambit to thwart the threat posed by privately-held Aequitas
Innovations Inc, which is in the process of seeking regulatory
approval in order to launch a new Canadian stock exchange.
Aequitas, which is being backed by Barclays Plc,
BCE Inc, CI Financial Corp, IGM Financial Inc
, OMERS Capital Markets and Royal Bank of Canada
, among others, had last year outlined plans to also
launch a unique trading platform for private securities that
would seek to allow for capital raising and liquidity for small
and mid-sized issuers.
The TSX Private Markets platform is expected to launch in
the third quarter of 2014, subject to final regulatory approval.
(Reporting by Euan Rocha; Editing by Marguerita Choy)