Apotex Health Corp. has signaled that its initial public offering in Toronto is expected to be priced at C$24 a share, which would place the final price at the top of the marketed range. The company increased the quantity of shares available late Monday, expanding the size of the offering.
The planned IPO combines a treasury offering of newly issued shares and a secondary sale by some existing shareholders. Together the components of the transaction are expected to raise about C$1.3 billion, which equates to approximately $932 million at prevailing exchange rates. Once listed, the shares are slated to trade on the Toronto Stock Exchange under the ticker APTX.
Several major Canadian banks are working on the transaction. Royal Bank of Canada, Toronto-Dominion Bank and Bank of Nova Scotia are named among the institutions involved in the offering.
Apotex traces its origins to 1974, when it was founded by Barry Sherman. Over subsequent decades the company grew into one of the larger manufacturers of generic pharmaceuticals globally. Barry Sherman and his wife, Honey Sherman, were discovered dead in their Toronto home in December 2017 in what police described as a double homicide; that investigation remains unresolved.
Ownership of the company changed hands in 2023 when New York-based SK Capital Partners, an investment firm focused on life sciences, bought Apotex. People familiar with the transaction previously indicated the deal valued Apotex between C$3 billion and C$4 billion.
Context and structure of the offering
The deal mixes capital raised by the company with liquidity provided to preexisting investors through secondary share sales. The involvement of several major banks suggests the transaction has typical underwriting support and distribution infrastructure for a Canadian-listed deal of this size.
Listing details
- The proposed IPO price: C$24 per share - at the top of the marketed range.
- Expected gross proceeds: approximately C$1.3 billion (about $932 million).
- Intended exchange and ticker: Toronto Stock Exchange, APTX.
The company and its advisers have provided a specific price expectation and expanded the offering size; further details, including final allocations and exact share counts, will be set when the deal prices and begins trading.