The announcement of a capital raise brings out various emotions in investors. Sometimes there’s excitement that a company can make its vision a reality. For others, there’s frustration that existing shareholders are being diluted as their company is forced to rattle the tin to keep the doors open.

But to one group in the markets, capital raises are always a good thing – the advisory firms that raise capital for them.

Stockhead has been running the numbers on which rainmakers have been performing well this year.  As of May 7, $944 million has been raised across 154 deals in small cap land comprising of IPOs, placements and rights issues. This time last year $1.6 billion had been raised across 162 deals.

The top performers

In 2019 the biggest deal-maker flying out the traps by capital raised has been broker Bell Potter. As of May 7, it has captured nearly 20 per cent of the market raising $195m across 13 deals. This time last year it had only raised $135 million, so it is fair to say 2019 has been a very busy year for Bell Potter.

Most of Bell Potter’s deals were placements. Its biggest deal was a $51.6 million placement for Paradigm Biopharmaceuticals (ASX: PAR), which was complemented with a $26.3 million rights issue.

Its only IPO was the $13m listing of wireless internet provider Uniti Wireless (ASX: UWL).

Retail broker Morgans held the second highest market share with $102.5 million, representing 11 per cent of the market. Among Morgan’s notable deals was a $22 million placement for Dubber Corp (ASX: DUB) and a $31 million rights issue and placement for Otto Energy (ASX: OEL).

Third on the list was Macquarie Bank, despite only doing two deals – Readytech (ASX: RDY) and Amaysim (AYS), both raising $50 million.

The broker that did the most deals was Hartleys, comprising mostly of micro cap mining companies.

Patersons was another high-volume deal maker although it did run the $35 million IPO of biotech Next Science (ASX: NXS).

The deal that has shaken the ASX was buy now pay later stock Splitit (ASX: SPT). That offer was completed by corporate advisory firm Armada Capital.

Armada’s only other deal this year was a $7 million placement for Ausmex Mining Group (ASX: AMG).

The biggest decliner in market share, compared to last year, was Shaw & Partners, which raised $128 million in the small cap market last year and was one of the biggest dealmakers. This year it has only done one deal – a $4 million placement for Spirit Telecom (ASX: ST1).

Perhaps Shaw has been distracted by the recent 51 per cent sale of their business to Swiss private banking group EFG International.

Here is a table of all ASX small cap equity capital market rainmakers and their year to date performance

Swipe or scroll to reveal the full table. Click headings to sort.

Firm Capital raised Year to date ($M) Deals Market Share (%) Market share Change from last year (%)
Bell Potter Securities Ltd 192.2 13 0.202486846046 0.12411955312
Morgans 102.5 10 0.108410412127 0.0371603522971
Macquarie 75.6 2 0.0795431734067 0.0350403141616
Canaccord Genuity 66.9 6 0.0705521909915 0.0410484579866
Patersons Securities Ltd 53.3 10 0.0565045445684 -0.000785968121121
Hartleys Ltd 50.3 16 0.0533745091269 0.0172976132652
Argonaut Ltd 39.4 5 0.0415693825955 0.0302366771853
Wilsons Corporate Finance Ltd 34.1 2 0.0362254547019 0.01313257003
Euroz Securities 31.8 2 0.0337788084795 -0.0230462079121
Blue Ocean Equities Pty Ltd 29.5 6 0.0311584732001 0.0197828174762
Petra Capital Pty Ltd 27.9 3 0.0294653941434 -0.0214230392968
Ashanti Capital Ltd 23.5 3 0.0249982288628 0.0249982288628
Cenkos Securities 21.8 1 0.0229673373694 0.0106093494819
PAC Partners Pty Ltd 17.9 4 0.0189975250392 0.00498334559877
Bridge Street Capital Partners Pty Ltd 16.7 4 0.0176905867562 0.0162680951851
Taylor Collison Ltd 16.2 9 0.0171400461783 -0.0125085522717
Armada Capital Ltd 15.5 2 0.0164666149473 0.0164666149473
Citi 15.3 1 0.0160775600279 0.0160775600279
Curran & Co 14.4 2 0.015216209295 0.015216209295
CPS Capital Group Pty Ltd 10.7 7 0.0112960012873 0.00154069602527
Jett Capital Advisors LLC 9.0 1 0.0095529251641 0.0095529251641
RM Capital Pty Ltd 6.5 3 0.00686010771917 0.00136066185265
Peak Asset Management 5.7 2 0.00606789244658 0.00513856137502
Everblu Capital Pty Ltd 4.3 3 0.00459221971207 -0.00031201006561
Shore Capital Group Ltd 4.1 2 0.0043183387026 0.0043183387026
Barclay Wells Ltd 4.0 1 0.00427219789533 0.00337169752813
Shaw & Partners Ltd 3.9 1 0.00416101204163 -0.0441989100514
Baker Young Ltd 3.7 2 0.00392976524561 0.00255896599448
Foster Stockbroking Pty Ltd 3.5 1 0.00370974162029 -0.00140001284334
Aurenda Partners 3.5 1 0.00365605487579 0.00365605487579
Azure Capital Pty Ltd 3.3 1 0.00350980521953 0.00350980521953
Wentworth Global Capital Partners Pty Ltd 3.3 1 0.00341434597984 0.00341434597984
Baillieu Holst Ltd 2.6 1 0.00275809340317 0.00163493377358
Discovery Capital Partners 2.6 1 0.0027276338447 0.0027276338447
708 Capital Pty Ltd 2.5 1 0.00268481099189 0.000187935737668
Brandon Hill Capital Ltd 2.5 1 0.00268481099189 0.00268481099189
Ironside Capital Group LLC 2.5 1 0.00263347461593 0.00263347461593
Blackwood Capital Ltd 2.3 1 0.00238638670381 -0.00378047290574
Moelis & Co 2.0 1 0.00213388915763 -0.0175216542501
JP Equity Partners 1.8 1 0.00194853078043 0.00194853078043
XEC Partners 1.6 1 0.00168676472069 0.00133732244972
EAS Advisors LLC 1.4 1 0.00149777560231 0.00149777560231
Chieftain Securities Pty Ltd 1.3 1 0.00131926340808 -0.00320627854608
Diamond Capital Partners Pty Ltd 1.0 1 0.00108887813372 0.00108887813372
Empire Capital Partners Pty Ltd 1.0 2 0.001067620294 -0.00560691336611
WH Ireland Ltd 1 1 0.00103138338559 0.00103138338559
Henslow Pty Ltd 0.9 1 0.000976953935733 -0.00300892717861
Lodge Partners 0.9 1 0.000976953935733 0.000976953935733
DJ Carmichael Pty Ltd 0.7 1 0.000760838382172 -0.00665058008831
Melbourne Capital Ltd 0.7 1 0.000757847195065 0.000757847195065
Alto Capital 0.7 1 0.000729644600654 0.000729644600654
LeMessurier Securities Pty Ltd 0.7 1 0.000694387423614 0.000694387423614
Thundering Herd Pty Ltd 0.7 1 0.000694387423614 0.000694387423614
Sanlam Private Wealth Pty Ltd 0.6 1 0.000663788680473 -0.00575757334697
GTT Ventures Pty Ltd 0.5 1 0.000527343229487 -0.00580295499355
Red Leaf Securities Pty Ltd 0.5 1 0.000526660225383 -0.00235083969458
Adelaide Equity Partners Ltd 0.4 1 0.000380090472119 0.000380090472119
Moore Stephens 0.4 1 0.000380090472119 0.000380090472119

 

Source: Bloomberg