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Aequitas Moves Forward to Build a New Canadian Stock Exchange and Private Securities Platform Set to Be Game Changers for



  Aequitas Moves Forward to Build a New Canadian Stock Exchange and Private
  Securities Platform Set to Be Game Changers for Canada’s Capital Markets

 Aequitas to proceed with exchange application following successful dialogue
                              with the industry

Business Wire

TORONTO -- January 16, 2014

Aequitas Innovations Inc. (“Aequitas”) is pleased to announce that it will
proceed with the implementation of a new Canadian stock exchange, as well as a
centralized platform for private securities focused on capital raising and
liquidity for small and mid-sized issuers. The exchange application will be
based on the key features Aequitas published in 2013, including a number of
amendments that resulted from an extensive dialogue and a comment process
initiated by the Ontario Securities Commission (“OSC”).

“We are very enthusiastic to begin building our new solutions for Canada’s
capital market as we believe they will be true game changers,” stated Jos
Schmitt, CEO, Aequitas Innovations Inc. “We are very thankful to the industry
and the regulators for all their feedback. Their engagement led us to a series
of amendments which will allow us to even more effectively deliver on our
mandate to build innovative solutions, create meaningful choice and
competition, enhance market fairness by curbing predatory high frequency
trading, and address capital raising issues.”

In August 2013, the OSC published for comments a number of key features of the
intended Aequitas offering. Based on the comments received and related
dialogue with both industry participants and the OSC, Aequitas believes that
its amended proposal not only meets the current regulatory framework
requirements but strengthens its value proposition for the industry, with the
following amendments:

  * The mechanism to identify predatory high frequency trading strategies will
    be refined to ensure it will not be impacted by the potential abuse or
    other shortcomings of the Short Marking Exempt (“SME”) regulatory marker;
  * The mechanism to prevent predatory high frequency trading strategies from
    taking liquidity in the Hybrid book will be replaced by a mechanism that
    will, rather than restrict access, make these strategies uneconomic
    through a combination of trading fees and speed-bumps;
  * Execution priority of designated market makers, designed to reward their
    commitment to provide reliable liquidity, will be capped to avoid the
    potential risk of ‘crowding out the quote’; and
  * Clients of Aequitas members with Direct Electronic Access will not be
    allowed to act as designated market makers.

All founding shareholders of Aequitas – Barclays Corporation, BCE, CI
Investments, IGM Financial, ITG Canada, OMERS Capital Markets, PSP Public
Markets and RBC Dominion Securities Inc. – have approved the Aequitas business
plan and the decision to proceed with the amended offering. As Aequitas
commences the implementation phase it will continue to actively engage with
market participants. One of the key milestones in this phase will be the
filing of the Aequitas Exchange Application with the OSC, which is planned for
the first quarter of 2014. Our goal is to rollout all our services over the
first half of 2015.

“We appreciate the tremendous engagement we have received to-date by a wide
variety of market participants and we heard their ask for meaningful
competition and enhanced fairness loud and clear. During this next phase we
encourage everyone to continue to make their voice heard and influence the
future of Canada’s equity markets,” continued Schmitt. “Our mandate will
always ensure the needs of the investors and issuers are put first as we
remain steadfast in our commitment to restore focus on the original purpose of
an exchange – creating a fair market for all, enabling stronger companies,
both small and big, and facilitating the growth of the Canadian economy.”

About Aequitas Innovations Inc.

Aequitas Innovations Inc. is a company founded by a diverse group of Canadian
corporations, representing all market participants, working together to create
a new user-focused Canadian exchange and private securities platform. Aequitas
investors and commercial partners include: Barclays Corporation Limited; BCE
Inc.; CI Investments Inc.; IGM Financial; ITG Canada Corp.; OMERS Capital
Markets; PSP Public Markets Inc.; and RBC Dominion Securities Inc. For more
information, please visit: www.aequitasinnovations.com

Contact:

Aequitas Innovations Inc.
Joanne Kearney, 416-804-5949
joanne.kearney@aequin.com
Connect with us on Twitter @Aequitas_Ex and LinkedIn
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