Citigroup year's top U.S. PIPE agent to date; Canaccord leads in Canadian market

By Stephanie N. Rotondo

Phoenix, Sept. 28 - Citigroup held on to its top position as placement agent for U.S. PIPE deals in 2012, according to data compiled by Prospect News.

Citigroup has facilitated two PIPE transactions this year, raising proceeds of $187 million.

In direct placements, the top agent remained Rodman & Renshaw, which participated in 16 deals since the beginning of 2012, for proceeds of $81 million.

Still, issuance year to date in the U.S. was behind year-ago levels. In straight placements, 617 transactions occurred, bringing in $12.19 billion. That compared to 693 deals done by this time in 2011, for proceeds of $18.08 billion.

Registered offerings, however, were surpassing year-ago figures. A total of 69 direct placements have taken place in 2012, raising $1.32 billion. In 2011, 68 deals had been done, for proceeds of $899 million.

For the third quarter and the month of September, P-Wave Holdings was the top placement agent for its $150 million 14% secured term loan transaction for Powerwave Technologies Inc.

Total quarterly and monthly issuance was also weaker than those seen in 2011. For the quarter, 193 took place, resulting in proceeds of $3.57 billion, versus 203 deals done in 2011, for proceeds of $8.52 billion.

In September, issuers hit the PIPE market 54 times for funds totaling $803 million. In the same month of 2011, issuance was $1.63 billion via 69 deals.

In the Canadian PIPE market, Canaccord remained the top placement agent year to date, facilitating 25 placements for proceeds of C$191 million. BMO took the top spot for the quarter, with its C$33 million common stock placement for MAG Silver Corp.

For the month, Cormark was the top agent, raising C$24 million via four transactions.

All told, Canadian issuers have raised C$4.75 billion in 2012 from 735 deals. That was below 2011 levels of C$6.71 billion raised via 968 private placements.

Quarterly issuance came to C$1.14 billion from 205 offerings versus C$1.63 billion from 242 deals the year before.

And, in September, issuers took to the PIPE market 73 times, raising C$345 million. In 2011, issuers had raised C$596 million from 63 sales.

U.S. market, year to date

2011 Comparables

	Underwriter	Amount	No.	Share	Rank	Amount	No.	Share
1	Citigroup	0.187	2	1.54%
2	Moelis	0.168	1	1.38%
3	Cowen	0.157	6	1.29%
4	P-Wave Holdings	0.150	1	1.23%
5	Evercore	0.140	1	1.15%
6	MLV	0.112	6	0.92%
7	FBR Capital Markets	0.085	1	0.70%
8	JMP	0.074	6	0.61%	26	0.015	1	0.08%
8	Stifel Nicolaus	0.069	3	0.57%
10	Sandler O'Neill	0.065	3	0.53%
	Total	12.187	617	18.076	693
	Average size:	0.020	0.026
U.S. direct placements, year to date
					2011 Comparables
	Underwriter	Amount	No.	Share	Rank	Amount	No.	Share
1	Rodman & Renshaw	0.081	16	6.14%	2	0.192	16	21.36%
2	Lazard	0.067	4	5.06%	10	0.019	1	2.11%
3	Ladenburg Thalmann	0.037	6	2.76%	4	0.055	1	6.13%
4	Roth	0.029	8	2.17%	3	0.114	6	12.69%
5	Aegis	0.024	5	1.84%	24	0.003	1	0.37%
6	KBW	0.019	1	1.45%
7	Stifel Nicolaus	0.018	1	1.32%
8	RS Platou	0.013	1	1.02%
8	Evercore	0.013	1	1.02%
10	Cowen	0.012	1	0.87%	6	0.030	1	3.34%
	Total	1.324	69	0.899	68
	Average size:	0.019	0.013
Canadian market, year to date
					2011 Comparables
	Underwriter	Amount	No.	Share	Rank	Amount	No.	Share
1	Canaccord	0.191	25	4.02%	4	0.281	30	4.18%
2	Cormark	0.171	16	3.61%	6	0.203	15	3.02%
3	Dundee	0.159	18	3.34%	5	0.244	31	3.64%
4	GMP	0.084	7	1.76%	3	0.290	18	4.33%
5	Clarus	0.074	4	1.56%	21	0.046	3	0.68%
6	Macquarie	0.063	8	1.34%	13	0.062	15	0.93%
7	Casimir	0.063	8	1.33%	15	0.058	11	0.86%
8	Raymond James	0.062	7	1.30%	16	0.058	7	0.86%
8	Haywood	0.061	6	1.29%	26	0.038	9	0.56%
10	RBC	0.060	6	1.27%	33	0.023	4	0.35%
	Total	4.748	735	6.711	968
	Average size:	0.006	0.007
U.S. market, Third quarter
					2011 Comparables
	Underwriter	Amount	No.	Share	Rank	Amount	No.	Share
1	P-Wave Holdings	0.150	1	4.21%
2	FBR Capital Markets	0.085	1	2.38%
3	Sandler O'Neill	0.050	1	1.40%
4	Citadel	0.040	1	1.12%
5	Stifel Nicolaus	0.032	1	0.90%
6	JMP	0.028	2	0.78%
7	Jefferies	0.027	1	0.75%
8	Goldman Sachs	0.020	1	0.56%
8	Morgan Stanley	0.020	1	0.56%
8	Sterne Agee & Leach	0.020	1	0.57%
	Total	3.566	193	8.524	203
	Average size:	0.018	0.042
Canadian market, Third quarter
					2011 Comparables
	Underwriter	Amount	No.	Share	Rank	Amount	No.	Share
1	BMO	0.033	1	2.91%	6	0.032	1	1.94%
2	Cormark	0.028	5	2.43%	3	0.040	2	2.46%
3	Salman Partners	0.022	2	1.95%
4	Canaccord	0.022	6	1.90%	4	0.033	3	2.00%
5	Stonecap	0.021	2	1.84%	31	0.003	1	0.20%
6	Dundee	0.021	4	1.84%	10	0.017	2	1.03%
7	PI Financial	0.020	1	1.75%	22	0.008	1	0.50%
8	Raymond James	0.019	2	1.65%
9	RBC	0.017	2	1.46%	19	0.008	1	0.51%
10	Paradigm	0.017	2	1.46%	5	0.032	3	2.00%
	Total	1.140	205	1.625	242
	Average size:	0.006	0.007
U.S. market, September
					2011 Comparables
	Underwriter	Amount	No.	Share	Rank	Amount	No.	Share
1	P-Wave Holdings	0.150	1	18.69%
2	FBR Capital Markets	0.085	1	10.59%
3	Goldman Sachs	0.020	1	2.49%
4	Morgan Stanley	0.020	1	2.49%
5	Wells Fargo	0.020	1	2.49%
6	Roth Capital Partners	0.015	1	1.87%
7	Non-brokered	0.008	2	1.03%	7	0.004	2	0.24%
8	Axiom Capital	0.007	2	0.93%
9	MLV	0.003	1	0.37%
10	Loewen Ondaatje McCutcheon	0.003	1	0.30%
	Total	0.803	54	1.634	69
	Average size:	0.015	0.024
Canadian market, September
					2011 Comparables
	Underwriter	Amount	No.	Share	Rank	Amount	No.	Share
1	Cormark	0.024	4	7.05%	3	0.040	2	6.71%
2	Canaccord	0.022	6	6.28%	6	0.011	1	1.88%
3	RBC	0.017	2	4.83%
4	Paradigm	0.017	2	4.83%	9	0.008	1	1.40%
5	Primary Capital	0.010	1	2.90%	4	0.022	1	3.77%
6	Stifel Nicolaus Canada	0.007	2	2.03%
7	Sunel Securities	0.005	1	1.45%
8	D&D Securities	0.005	1	1.32%
9	Portfolio Strategies	0.004	2	1.16%
10	National Bank Financial	0.004	1	1.16%
	Total	0.345	73	0.596	63
	Average size:	0.005	0.009
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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