Mental health startup MindBeacon files for public offering on TSX


Toronto-based MindBeacon, which has created a digital mental health treatment platform, has officially filed to list on the Toronto Stock Exchange (TSX).

On Monday, MindBeacon filed a preliminary base PREP prospectus with the securities regulatory authorities in each of the provinces and territories for its proposed initial public offering (IPO). The startup is looking to raise gross proceeds of $50 million in the offering, with shares going for between $7 to $8 each. The number of shares to be sold has yet to be determined.

The Toronto-based startup is looking to raise gross proceeds of $50 million in the offering.

MindBeacon was founded in 2015 and first introduced its mental health treatment platform, Beacon, in 2016 as an in-clinic solution to enhance delivery and measurement of Cognitive Behavioural Therapy (CBT), a psycho-social method that aims to improve mental health. Beacon launched in 2017 as a fully digital experience, providing treatment through digitally-delivered CBT with the one-on-one support of a dedicated therapist.

The Globe and Mail was first to report that the Toronto-based startup was looking to go public on the TSX. The outlet noted that MindBeacon had set out to raise $30 million from private investors this year, but after the success of numerous Canadian tech company listings decided to increase that amount and raise it in the public market.

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MindBeacon previously raised $38 million in Series A capital from a group of investors that included Green Shield Canada, Manulife, and Telus Ventures. Telus is among the selling shareholders for the IPO.

In October, MindBeacon was promised $4 million in a repayable contribution from FedDev Ontario through its Business Scale Up and Productivity stream. The investment was set to be used to scale MindBeacon’s digital and virtual therapy platforms and expand into global markets.

MindBeacon has applied to list under the symbol MBCN. TD Securities and Credit Suisse Securities are leading the offering, with Bloom Burton & Co. and Canaccord Genuity Group also part of the underwriting syndicate.

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Upon closing of the offering, Claire Duboc, MindBeacon’s founder and a director, along with Green Shield Canada, will own or control more than 3 million common shares each. Manulife Capital will own or control 1,459,436 common shares, with Telus owning or controlling 1,459,436 common shares or 1,108,968 common shares if the over-allotment option is exercised in full.

MindBeacon is looking to use the capital raised from the IPO to expand its product offerings, with sites set on the United States market. It is also looking to grow its sales and marketing team, and increase its data analytics and AI capabilities.

Meagan Simpson

Meagan Simpson

Meagan is the Senior 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.

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