ATB Capital Markets, the capital markets arm of ATB Financial, hosted its Fall 2024 Energy and Life Sciences Institutional Investor Conferences in New York City, bringing together key players in both sectors to discuss industry insights and future growth opportunities.
Energy Outlook
The Energy Institutional Investor Conference, held on September 17, 2024, featured 14 leading Canadian oil and gas producers. The event also included a keynote speech and fireside chat with the Premier of Alberta, the Honourable Danielle Smith, who highlighted the province’s robust upstream energy industry and its role in emerging fields like hydrogen, natural gas, renewables, and carbon capture.
Investors at the conference emphasized the strength of Canadian energy producers’ business models, capable of profitable operations even at lower oil prices compared to their U.S. counterparts. Canadian energy assets offer higher value and free cash flow yields, a key draw for investors. This, coupled with a supportive regulatory environment and increasing political backing, positions Canada as a leading energy player.
Patrick O’Rourke, Managing Director of Institutional Research, Exploration & Production at ATB Capital Markets, shared insights on the sector’s future, stating, “The Canadian energy industry is thriving, demonstrating exceptional resilience and profitability with record liquids production. Exciting opportunities lie ahead, with anticipated field activity growth and mid-single digit production growth for Canadian E&Ps on average in 2025.”
Life Sciences Outlook
The Life Sciences Institutional Investor Conference, held on September 18, 2024, brought together management teams and institutional investors for two moderated panels focusing on regulatory catalysts, investor sentiment, and the outlook for the coming year.
Discussions centered around the potential rescheduling of cannabis in the U.S., with both presidential candidates expressing support for the move. While investors view this as a positive sign for future change, they acknowledge that rescheduling alone might not be enough to allow U.S. cannabis companies to list on the NYSE and NASDAQ. Additional steps, such as a banking bill with safe harbor language or a Department of Justice memo, are considered necessary for uplistings.
Florida’s adult-use legalization also sparked discussions, with polls indicating strong public support. Investor sentiment remains cautious due to past delays and false starts in regulatory changes. Investors are seeking tangible catalysts before allocating significant capital, a move that could drive sector growth. Current valuations present an appealing investment opportunity, particularly with potential catalysts on the horizon.
Frederico Gomes, Director of Institutional Research, Life Sciences at ATB Capital Markets, highlighted the evolving regulatory landscape for cannabis, stating, “Conversations at our Life Sciences conference this year revealed that the regulatory landscape for cannabis is on the cusp of transformation. Companies are focusing on building resilient, sustainable business models regardless of regulatory reform, positioning themselves to capitalize on emerging growth prospects.”
ATB Capital Markets: Empowering Growth
ATB Capital Markets, established in 2020, is committed to providing clients with comprehensive corporate and capital markets advice, alongside tailored financial solutions to foster business growth. They offer a full range of investment and corporate banking services, including sales and trading, institutional research, and risk management.
Through these investor conferences and ongoing initiatives, ATB Capital Markets demonstrates its dedication to fostering dialogue and providing valuable insights to empower clients and drive growth within key sectors.
