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DAVID STOBBE/Reuters

There may soon be another public potash miner on the TSX, provided the initial public offering for newcomer Potash Ridge Corp. is successful.

The company, based in Toronto, mines 'SOP' potash, which is a lesser-known, chloride-free version and is sold at higher prices. The company's main asset is the Blawn Mountain Project in Utah.

In the past few months, there hasn't been much chatter around growth-oriented investments like this one. Yield stocks have dominated, and the most successful IPOs have been for REITs. But there appears to be some momentum and newfound interest in riskier plays, prompting the likes of Ivanplats to launch its IPO.

The deal for Potash Ridge isn't as big. The firm is looking to raise about $40-million. But should it go well, it could lead to more deals of this sort, and that would surely be good for the boutique brokerages that specialize in smaller cap stocks.

Proceeds from the IPO will be used to explore and develop the Blawn Mountain Project, which is situated on state-owned lands. Potash Ridge has paid a fee for the rights to explore for things like potash and clay minerals, and if production begins, it must pay small royalties on both. To date, the firm has raised $19-million through private financings.

National Bank Financial and Clarus Securities are co-leading the IPO, while Davies Ward Phillips & Vineberg LLP and Wildeboer Dellelce LLP are advising the company and the underwriters on Canadian legal matters.

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