BBTV closes IPO, completes buyout of RTL’s interest in company

BBTV

BBTV Holdings, the holding company behind Vancouver-based media and technology company BroadbandTV, announced Wednesday morning it has closed its initial public offering (IPO) on the Toronto Stock Exchange (TSX).

At the same time, the company noted that it completed the buyout of RTL Group’s interest in BroadbandTV.

“We are breaking important new ground and paving the way for countless women and girls.”

The Canadian division of European media company RTL Group had previously owned 51 percent of the Vancouver company following a $36 million investment in 2013. BroadbandTV noted in its prospectus for the IPO that it planned to use $158.8 million of the proceeds to acquire the issued and outstanding securities of RTL.

BroadbandTV put the price of its IPO at $16 CAD per share, set to pull in total gross proceeds of $172.4 million.

The company noted on Wednesday that following the acquisition from RTL, it intends to use the remaining balance to fund business operations, offering expenses, strategic acquisitions, and growth initiatives.

Notably, BroadbandTV stated that its IPO represented “one of the Top 10 Tech TSX listings of all time” and the largest on the TSX with a sole female founder and CEO at the helm.

“We are breaking important new ground and paving the way for countless women and girls who envision a future with more potential to be leaders,” said Shahrzad Rafati, founder and CEO of BBTV. “I hope they can see themselves in this moment and realize that no achievement is out of reach, no matter what corner of the world you come from. As a proud Canadian, this is a moment in our nation’s history worth celebrating, and a testament to how diversity can foster a more equal and representative world while also powering a prosperous economy.”

RELATED: BroadbandTV looking to go public on TSX through $172 million IPO

Rafati founded the company in 2005, with BroadbandTV creating, distributing, managing, and monetizing video content. The Vancouver company provides end-to-end content management and technology solutions for independent content creators and media companies with the intent of helping to grow their presence online. BroadbandTV has partnered with organizations like United States-based public broadcaster PBS, the National Basketball Association, as well as A&E and Sony.

Following the closing of the IPO, BroadbandTV noted that directors of the company, including Rafati, subscribed for approximately 10 percent of the IPO offering and collectively own approximately 19 percent of BBTV’s outstanding subordinate voting shares. Rafati reportedly owns 35 percent of the total equity shares of the company, including subordinate voting shares and multiple voting shares, representing approximately 83 percent of the total voting power.

The offering was underwritten by a syndicate of underwriters led by Canaccord Genuity Corp. and Scotia Capital Inc. and included CIBC Capital Markets, BMO Capital Markets, Eight Capital, Stifel GMP, Cormark Securities Inc. and PI Financial Corp.

The underwriters have been granted an over-allotment option to purchase up to an additional 1,077,500 subordinate voting shares at a price of $16 per share for additional gross proceeds of $17,240,000 CAD if the over-allotment option is exercised in full within 30 days from the closing date.

Meagan Simpson

Meagan Simpson

Meagan is the Associate Editor for BetaKit. A tech writer that is super proud to showcase the Canadian tech scene. Background in almost every type of journalism from sports to politics. Podcast and Harry Potter nerd, photographer and crazy cat lady.