Real Matters prices $156.7M IPO and secondary offering

Real Matters Inc. has filed its final prospectus in connection with it proposed initial public offering and secondary offering.

Real Matters will issue of 12,056,186 common shares, consisting of a treasury issuance of 9,620,000 shares at $13.00 per share for gross proceeds of $125,060,000 and a secondary offering of 2,436,186 shares for $31,670,418.

The selling shareholders include EdgePoint Investment Group Inc. (Cymbria Corporation, EdgePoint Canadian Portfolio, EdgePoint Canadian Growth & Income Portfolio and EdgePoint Wealth Management Inc.), Cypress Capital Management Ltd., AGF (AGF Canadian Growth Equity Class, London Life Growth Equity and Great West Life Growth Equity), Fiera Capital Corporation, 370271 Ontario Limited, Property Values Income and Common Shares LP, Mosaic Capital Corp., Maplecastle Corporation, and Heidi Blackburn and the estate of Alistair.

The closing of the offering is expected to occur on or about May 11, 2017. The Toronto Stock Exchange (TSX) has conditionally approved the listing of Real Matters shares under the symbol “REAL”.

Real Matters will have 93,256,094 shares on fully diluted basis (assuming full exercise of over-allotment option), valuing the company at $1.21 billion at the offering price.

Real Matters has raised $117 million primarily from institutional investors since December 2013. Venture capital investors, such as Whitecap Venture Partners, Radar Capital, Kensington Capital Partner (participated in a secondary transaction in November 2016), are insignificant tag-along investors.

Immediately following the closing of the offering, Altus Group Limited will own 10,458,142 shares (12.04%) and EdgePoint Investment Group Inc. will control over 7,378,496 (8.49%).

photo credit: Real Matters

Ted Liu

Ted Liu, M.Sc. (Mining, Queen's), MBA (Finance, Toronto), is the Editor of Private Capital Journal, CanadaMetals.ca, TechWire.ca, and the former Editor of Canadian Private Equity. Ted has been passionately tracking Canadian private capital industry since 1992, having most recently served as Research Director for The Canadian Venture Capital and Private Equity Association (CVCA).

Ted is the architect of CVCA infobase, and is the architect of CPE Media's Financings.ca, Canada's most sophisticated and advanced all private capital and public market financing database.