Leveraged Finance Landscape in Canada

collahola's picture
Rank: Baboon | banana points 101

There seems to be a lack of solid content focused on the domestic Canadian market given its limited size and importance compared to south of the border.

As such, I'd like to start a thread to help map out, with the assistance from the wso community, the landscape / key players in the domestic Canadian leveraged finance market. Appreciate you guys could add to my list below and correct as needed.

Domestic banks with dedicated leveraged finance desks in Canada
- RBC: through RBC mezzanine team, focused on mid market lev fin deals
- BMO: full lev fin desk
- CIBC: full lev fin desk, under CIBC corp banking; US TLB and bonds under CIBC cap markets team
- Scotiabank: through Roynat, focused on mid market lev fin deals
- TD: [ ]?
- National Bank: [ ]?
- Others: [ ]?

International (e.g. US or European) banks: doubt they would have dedicated lev fin desks in Canada

Others
- CPPIB: I saw a job post for Americas lev fin based in Toronto, but believe the mandate is to look at the broader North America lev fin market instead of just domestic Canada

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Apr 15, 2019
collahola:

There seems to be a lack of solid content focused on the domestic Canadian market given its limited size and importance compared to south of the border.

As such, I'd like to start a thread to help map out, with the assistance from the wso community, the landscape / key players in the domestic Canadian leveraged finance market. Appreciate you guys could add to my list below and correct as needed.

Domestic banks with dedicated leveraged finance desks in Canada
- RBC: through RBC mezzanine team, focused on mid market lev fin deals
- BMO: full lev fin desk
- CIBC: full lev fin desk, under CIBC corp banking; US TLB and bonds under CIBC cap markets team
- Scotiabank: through Roynat, focused on mid market lev fin deals
- TD: [ ]?
- National Bank: [ ]?
- Others: [ ]?

International (e.g. US or European) banks: doubt they would have dedicated lev fin desks in Canada

Others
- CPPIB: I saw a job post for Americas lev fin based in Toronto, but believe the mandate is to look at the broader North America lev fin market instead of just domestic Canada

Cibc does not have a full lev fin team under corp banking, they have a team under commercial banking that provides senior and sub debt for lbo transactions with EVs up to a billion. Once the company starts getting bigger than US 50mm EBITDA, the sponsor typically prefers to use a US tlb structure. The cibc cap markets US team can arrange this but my understanding is that they don't typically lead deals. The cibc commercial levfin team competes with the sponsor coverage teams from both Scotia and bmo - although there is a separate bmo team that does sub debt called capital partners. I believe Roynat handles the sub debt for Scotia. National does these deals out of their corporate banking. TD does them out of both corporate and commercial depending on the size.

Apr 15, 2019
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