Insider Spotlight
Aznar Shipping Corp. is seeking up to P737 million from an initial public offering to expand beyond its current nine-vessel network and develop a shipyard.
It would give the Philippine Stock Exchange another pure logistics play alongside Davao tycoon Dennis Uy’s Chelsea Logistics and Infrastructure Holdings, following 2GO Group’s delisting.
“Aznar Shipping’s IPO gives investors an opportunity to participate in the growth of the Visayas through an expanding inter-island shipping platform that supports trade, tourism, and everyday mobility across the region’s key growth centers,” president and CEO Kyle Alexander C. Aznar said in a statement over the weekend.
Subject to regulatory approvals and market conditions, Aznar is targeting a Dec. 1 to Dec. 8 offer period and a Dec. 18 listing on the PSE’s Small, Medium and Emerging Board under the ticker ALX.
P737-million expansion bet
The company plans to sell up to 1 billion new shares at a maximum P0.67 each, potentially raising P670 million in gross proceeds, while an over-allotment of up to 100 million secondary shares could add another P67 million to the total deal.
The primary proceeds will fund fleet expansion, shipyard development and general corporate purposes as Aznar builds capacity beyond four major routes and eight ports across Cebu, Leyte, Panay and Negros Occidental.
Visayas traffic runs ahead
The expansion is aimed at a region that accounted for 60 percent of Philippine passenger traffic, 49 percent of RoRo vehicle movements, 35 percent of cargo throughput and more than half of ship calls from 2022 to 2025, based on a Center for Research and Communication study.
“As economic activity across the Visayas continues to grow, we want Aznar Shipping to grow with the region. The additional capital will help us strengthen our fleet and supporting capabilities so we can connect more growth centers and provide the maritime capacity needed to move more passengers, vehicles, and cargoes,” Aznar said.
Cebu’s next market debut
The planned IPO would make Aznar Shipping the latest Cebu-based company to tap the Philippine stock market following Top Line Business Development Corp.
Investment & Capital Corporation of the Philippines and PNB Capital and Investment Corporation are joint issue managers, lead underwriters and bookrunners, while Aznar is enrolled in the PSE’s Listing Engagement and Assistance Program.
—Edited by Miguel R. Camus
