After four years of dormancy, the Canadian public markets are waking up.
Bankers and portfolio managers signal that Canada’s IPO market is poised for a significant revival in 2026. This shift marks a critical turning point for the Toronto Stock Exchange (TSX), which has suffered a “corporate exodus” of delistings recently, even as the index itself surged.
📈 THE BULLISH BACKDROP (2025):
- The Performance: The S&P/TSX Composite surged 29% in 2025, significantly outpacing the S&P 500’s 16% gain.
- The Disconnect: Despite the rally, volume was low—there were only 2 IPOs last year compared to 55 delistings.
- The Pivot: BMO’s Head of Equity Capital Markets, Peter Miller, notes the pipeline is now the “strongest since 2021,” driven not by a lack of demand, but a return of supply.
🔓 THE CATALYST: The successful IPO of Rockpoint Gas Storage (raising C$704M in Oct 2025) has set the precedent.
- JP Morgan CEO David Rawlings notes Rockpoint is trading 25% above issue price, proving that liquidity is available for quality assets.
- The Pipeline: Expect listings in Technology, Fintech, and Resources—moving beyond just the traditional energy plays.
🏛️ THE “CARNEY EFFECT”: The revival is also being linked to renewed economic confidence under Prime Minister Mark Carney. His pro-business agenda focused on productivity and trade partnerships is credited with attracting the foreign investment necessary to support new issuances, despite headwinds from US tariffs.
💡 ANALYST TAKEAWAY: The TSX has been fighting a “value trap” perception for years. The fact that the index outperformed the S&P 500 by nearly 2x last year suggests that global capital is rotating back into Canadian resources and financials. If 2026 delivers a robust IPO calendar, we aren’t just looking at a market rally; we are looking at the reversal of the de-equitization trend that has plagued Canadian capital markets.
👇 Canadian Investors: Do you see enough liquidity in the domestic market to support a tech IPO wave, or will growth companies still look south to Nasdaq?