U.S., Canadian PIPE issuance in 2011 lags behind 2010

• Reedland top U.S. market PIPE placement agent for 2011

• Rodman top placement agent for U.S. market direct placements

• Cormark holds top ranking for Canadian market PIPE placements

By Stephanie N. Rotondo

Portland, Ore., Dec. 30 - U.S. PIPE issuance ended 2011 behind year-ago levels, according to data compiled by Prospect News.

Total issuance for the year was $21.57 billion via 874 transactions. That compared to $22.35 billion raised via 948 deals in 2010.

Reedland Capital Partners was the top placement agent of 2011, generating proceeds of $235 million in five offerings. Rodman & Renshaw held on to its title of top direct placement agent, facilitating 19 deals for proceeds of $217 million.

Reedland also took the top spot for the fourth quarter with its $50 million sale of common stock for Arena Pharmaceuticals Inc.

Total issuance for the quarter was $3.56 billion done via 182 deals. In the fourth quarter of 2010, $6.64 billion was raised through 261 transactions.

During December, issuers took in $1.28 billion through 54 placements. That was down from December 2010, when issuers generated proceeds of $1.49 billion through 94 transactions.

Cowen was the number one placement agent for December, raising $40 million in a common stock sale for Delcath Systems Inc.

Canadian PIPE issuance was also lagging behind year-ago comparables. For the year, Canadian issuers took in C$8.56 billion via 1,337 deals. In 2010, C$11.26 billion had been raised from 1,452 deals.

In the fourth quarter, 366 transactions were done, bringing in proceeds of C$1.85 billion. That compared to 590 deals done in the fourth quarter of 2010, for proceeds of C$4.04 billion.

And, for December, C$351 million was raised via 103 placements, versus C$1.17 billion raised via 217 transactions the year before.

Cormark swept the Canadian market, winning the top spot for the year, quarter and month. All told, Cormark placed C$381 million via 21 deals. Of those, C$178 million was raised via six deals during the quarter.

In December alone, Cormark brought in C$60 million from a sale of subscription receipts for Atacama Minerals Corp.

Year to date, U.S. market

2010 Comparables

	Agent	Amount	No.	Share	Rank	Amount	No.	Share
1	Reedland	0.235	5	1.09%	20	0.045	2	0.20%
2	Rodman & Renshaw	0.174	31	0.81%	9	0.138	15	0.62%
3	Lazard	0.107	5	0.50%	11	0.112	4	0.50%
4	Canaccord	0.088	5	0.41%	17	0.065	5	0.29%
5	Piper Jaffray	0.076	4	0.35%	25	0.032	1	0.14%
6	William Blair	0.068	5	0.31%	73	0.008	1	0.03%
7	Dawson James	0.052	2	0.24%	86	0.004	2	0.02%
8	Roth	0.047	8	0.22%	14	0.088	9	0.39%
9	Northland	0.046	3	0.21%
10	Cowen	0.042	2	0.20%
	Total	21.567	874	22.350	948
	Average size:	0.025	0.024
Year to date, U.S. direct placements
					2010 Comparables
	Agent	Amount	No.	Share	Rank	Amount	No.	Share
1	Rodman & Renshaw	0.217	19	21.72%	2	0.495	46	19.99%
2	Roth	0.117	7	11.73%	5	0.079	12	3.20%
3	Ladenburg Thalmann	0.057	2	5.67%	26	0.014	3	0.55%
4	Cowen	0.030	1	3.00%	33	0.008	2	0.31%
5	Sandler O'Neill	0.024	1	2.41%
6	Lazard	0.024	2	2.40%	7	0.055	3	2.20%
7	Chardan	0.023	5	2.26%	9	0.051	7	2.07%
8	FT Global	0.020	1	2.00%	24	0.017	1	0.67%
9	B. Riley	0.019	2	1.91%
10	Religare	0.018	1	1.75%
	Total	1.000	79	2.476	149
	Average size:	0.013	0.017
Year to date, Canadian market
					2010 Comparables
	Agent	Amount	No.	Share	Rank	Amount	No.	Share
1	Cormark	0.381	21	4.45%	11	0.200	18	1.77%
2	GMP	0.334	22	3.90%	3	0.909	24	8.07%
3	Canaccord	0.318	40	3.72%	6	0.335	57	2.98%
4	Dundee	0.268	35	3.13%	9	0.218	31	1.93%
5	TD	0.199	7	2.32%	13	0.123	6	1.10%
6	Mackie	0.147	7	1.71%	16	0.101	18	0.90%
7	CITI Canada	0.101	1	1.18%
8	BMO	0.092	4	1.07%	10	0.210	4	1.86%
9	Raymond James	0.089	9	1.04%	12	0.182	16	1.61%
10	Stifel	0.074	4	0.86%
	Total	8.563	1337	11.260	1452
	Average size:	0.006	0.008
Fourth quarter, U.S. market
					2010 Comparables
	Agent	Amount	No.	Share	Rank	Amount	No.	Share
1	Reedland	0.050	1	1.41%	6	0.045	2	0.68%
2	Cowen	0.042	2	1.19%
3	Oxford Finance	0.030	1	0.84%
4	Rodman & Renshaw	0.025	6	0.70%	9	0.033	4	0.49%
5	Lazard Capital Markets	0.023	2	0.65%
6	DS Apex Mergers	0.015	1	0.42%
7	National	0.013	1	0.35%
8	Gilford	0.012	1	0.33%
9	MDB Capital Group	0.011	2	0.31%
10	Ascendiant	0.010	1	0.28%
	Total	3.555	182	6.637	261
	Average size:	0.020	0.025
Fourth quarter, Canadian market
					2010 Comparables
	Agent	Amount	No.	Share	Rank	Amount	No.	Share
1	Cormark	0.178	6	9.61%	10	0.076	4	1.87%
2	GMP	0.044	4	2.37%	5	0.191	13	4.72%
3	RBC	0.041	2	2.21%	3	0.440	8	10.88%
4	Canaccord	0.038	10	2.03%	18	0.046	15	1.13%
5	Raymond James	0.031	2	1.69%	16	0.050	5	1.25%
6	Stonecap	0.027	1	1.48%	32	0.013	7	0.33%
7	National Bank Financial	0.026	5	1.41%	65	0.001	2	0.03%
8	Dundee	0.024	4	1.28%	7	0.087	12	2.15%
9	D&D Securities	0.023	3	1.24%
10	Haywood	0.021	5	1.14%	12	0.064	5	1.57%
	Total	1.852	366	4.039	590
	Average size:	0.005	0.007
December, U.S. market
					2010 Comparables
	Agent	Amount	No.	Share	Rank	Amount	No.	Share
1	Cowen	0.040	1	3.10%
2	Oxford Finance	0.030	1	2.34%
3	Lazard Capital Markets	0.023	2	1.80%
4	Rodman & Renshaw	0.015	1	1.17%	3	0.021	1	1.43%
5	Gilford	0.012	1	0.91%
6	MDB Capital Group	0.011	2	0.86%
7	William Blair	0.007	1	0.59%
8	Merriman Capital	0.002	1	0.18%
9	Roth	0.002	1	0.14%
10	Financial West Group	0.001	1	0.09%
	Total	1.281	54	1.485	94
	Average size:	0.024	0.016
December, Canadian market
					2010 Comparables
	Agent	Amount	No.	Share	Rank	Amount	No.	Share
1	Cormark	0.060	1	17.09%	34	0.003	1	0.25%
2	D&D Securities	0.023	3	6.55%
3	National Bank Financial	0.012	3	3.36%
4	Canaccord	0.008	1	2.14%	32	0.003	3	0.28%
5	Byron	0.005	2	1.45%	21	0.007	1	0.64%
6	Mackie Research	0.005	1	1.42%
7	FirstEnergy	0.005	1	1.42%	26	0.005	1	0.44%
8	Integral Wealth Securities	0.004	2	1.14%
9	Desjardins	0.003	1	0.85%
10	Industrial Alliance	0.003	4	0.82%	23	0.006	6	0.52%
	Total	0.351	103	1.167	217
	Average size:	0.003	0.005
Prospect News PIPE Agent Rankings

Criteria

• The tables include all dollar-denominated offerings (or Canadian dollar-denominated offerings for the Canadian tables) sold as private placements, excluding Rule 144A deals, or direct placements.

• Stock must be listed on a U.S. exchange or trade on the Bulletin Board or Pink Sheets (U.S. issues).

• Offerings are included in the time period in which they price, if known, otherwise by settlement date or announcement date.

• Amounts are based on the total sales price (face amount or number of shares multiplied by the offering price).

• Each tranche is counted as a separate deal.

• Includes stock, securities convertible into stock, units of these securities and equity lines of credit.

• Minimum issue size $1 million (all tranches combined) or C$1 million.

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