The Globe and Mail quotes Fasken lawyers in an article on PIPEs.
Law firm Fasken Martineau DuMoulin LLP does an annual survey of PIPE deals. It said in a recent report that such financing is well suited to uncertain conditions, including COVID-related market volatility. Writing before the outbreak of war in Europe, Faskens said: “We expect to see PIPE volumes remaining robust.”
“From the perspective of an investor, a PIPE can provide downside protection, an effective say in the business and upside gains,” the Fasken study said. “For issuers, a PIPE can act as an effective financing while securing a strategic partner, and in the case of those issuers facing tough times, allows for the raising of significant capital without selling the entire business at a depressed value.”
