Globe Fintech Innovations Inc. (Mynt), the parent company of mobile wallet GCash, said it is not exploring other options for its planned initial public offering, despite what it considers “too rigid” minimum public ownership requirements on the Philippine Stock Exchange.
“We have not really looked at other venues outside the Philippines today and (are) very optimistic that the PSE [Philippine Stock Exchange], and the SEC [Securities and Exchange Commission] will see that this IPO is quite unique in terms of its size, in terms of the interest of the public and the international investors, and that they will see things our way in terms of the need to look at this threshold that has been around for quite some time,” said Mynt chairman Ernest Cu.
“And we believe it is quite rigid. And given where our market is at, I think it’s in the best interest of everyone that they consider the reduction in public float,” he said.
The PSE issued guidelines in August 2020, requiring a company applying for initial listing through IPO to sell a minimum public offer size of 20 percent to 33 percent of its outstanding capital stock post-IPO.
“We are working to remove any kind of private equity overhang that may exist today when we go public,” Cu said.
Bloomberg News earlier reported that GCash was planning to raise $1 billion to $1.5 billion, possibly in the second half of 2025.
Mynt president and chief executive Martha Sazon said in August 2024 the company was in no hurry to launch an IPO after securing a $786-million investment from Japan’s Mitsubishi UFJ Financial Group (MUFG), providing ample financial resources to fuel its growth.
The investment by Ayala and MUFG of Japan brought the valuation of GCash to $5 billion, more than doubling its previous valuation of $2 billion in 2021.
This solidifies Mynt’s position as a leading fintech player in the Philippines and signals its ambitious plans for future growth and innovation.
Ayala, through its subsidiary AC Ventures Holdings Inc., will expand its ownership in Mynt by 8 percentage points to 13 percent, while MUFG Bank Ltd. will acquire an equal stake of 8 percent.
Prior to the transactions, key shareholders of Mynt included Globe Telecom and Ant Group, holding 35% and 34%, respectively.
These investments underscore the growing confidence in Mynt’s potential to revolutionize the Philippine financial landscape.
