2015 was a year of two halves for Canadian mid-market
Technology, Media and Telecom (TMT) companies. Starting strong,
then struggling under the weight of slowing Chinese growth, and
both the oil & gas sector and Canadian dollar in steep
declines. Over the year, public mid-market TMT companies, as
measured by the Veracap TMT Index (VTI)(1), were down by 4.7% while
the large market cap tech index, the S&P/TSX Capped Information
Technology Index was actually up by 13.5%. The VTI reached a high
of 15,589 (20.5% increase from the beginning of the year) on June
25, 2015 and then began to decline into year end.
Of the 121 constituents in the index, approximately 50% were up
and 50% were down on the year. Some were up over 100% including
Espial Group, 01 Communique Laboratory, Firan Technology Group
Corporation, and TIO Networks. Enablence Technologies and Pivot
Technology Solutions were up over 300%(2). Of course there were
laggards as well, DragonWave, GuestLogix, Mood
