Utility firm Maynilad has secured approval for its IPO in July, while GCash is undergoing a stock split ahead of its planned listing.
Maynilad gets IPO greenlight
The Philippine Securities and Exchange Commission (SEC) has approved the initial public offering (IPO) of utility firm Maynilad Water Services Inc, which plans to list on July 17.
Maynilad, jointly owned by Metro Pacific Investments, DMCI Holdings, and Japan’s Marubeni Corp, is offering 1.68 billion primary shares at 20 pesos ($0.36) apiece, with an overallotment option of 249.05 million shares.
Secondary shares will also be sold by shareholder of Maynilad Water Holding Co. The IPO will represent at least 30% of the company’s outstanding capital stock.
Maynilad could raise up to 37.41 billion pesos ($670 million) from the IPO, excluding proceeds from the second shares. The company said it will use the proceeds for capital expenditures and general corporate purposes.
It will be the second company to tap the stock market this year amid global trade tensions, following Top Line Business Development Corp., which raised 732 million pesos ($13.1 million) from its oversubscribed IPO in April.
GCash stock split okayed ahead of planned IPO
Globe Fintech Innovations (Mynt), the operator of Philippine fintech giant GCash, has secured board and shareholder approval to implement a stock split ahead of the fintech company’s IPO.
The stock split will reduce Mynt’s par value from 1.00 pesos to 0.03 pesos, increasing its authorised common shares from 2.15 billion to 71.66 billion. The company’s authorised capital stock of 2.14 billion pesos will remain the same, according to a disclosure.
Last March, the SEC approved a Philippine Stock Exchange proposal to exempt large IPOs—over 5 billion pesos—from the 20% minimum public float requirement. Mynt has requested such an exemption, citing limited market liquidity.
Globe’s former president and CEO Ernest Cu in February expressed optimism that regulators in the Philippines will lower the public float requirement of 20% for listed companies, paving the way for GCash’s planned listing.
