The Securities and Exchange Commission (SEC) said Monday it approved the initial public offering (IPO) of Maynilad Water Services Inc. that could raise more than P37 billion.
The SEC approved the Maynilad’s public offering of 1.66 billion common shares priced at up to P20 apiece, with an overallotment option for another 249 million shares and a preferential offer of up to 24. 904 million shares.
The secondary shares are part of the offer that would be sold by the company’s main shareholder Maynilad Water Holding Company Inc.
Assuming the over-allotment and preferential shares are fully subscribed, Maynilad could net up to P37.41 billion from the IPO.
Maynilad said it would not receive proceeds from the sale of secondary shares by Maynilad Water Holding Company.
It said the proceeds would fund Maynilad’s capital expenditures and for corporate general purposes.
The offer period will run from July 3 to 9, with the shares expected to be listed on the main board of the Philippine Stock Exchange on July 17, according to the latest timeline submitted to the SEC.
Maynilad tapped BPI Capital Corp., the Hongkong and Shanghai Banking Corporation Limited, Morgan Stanley Asia (Singapore) Pte. and UBS AG Singapore Branch as joint global coordinators and joint bookrunners for the offer.
