Maynilad Water Services’ long-awaited initial public offering (IPO) is taking final form, with nine banks now part of the underwriting syndicate as the company gears up for a Nov. 7 listing that could raise as much as P45.7 billion.
The latest preliminary prospectus dated Oct. 3 shows five new banks — Sy family’s BDO Capital & Investment Corp., Ty-led First Metro Investment Corp., Frederick Dy’s Security Bank Capital, and the Gotianun family’s EastWest Banking Corp. — serving as co-underwriters, alongside joint lead underwriter Maybank Securities Pte. Ltd.
Domestic lead underwriter BPI Capital Corp., UBS, The Hongkong and Shanghai Banking Corp. Ltd., and Morgan Stanley remain onboard, signaling both international and local confidence in the deal.
The addition of four local banks shows Maynilad is broadening and localizing its IPO syndicate as the deal moves closer to pricing, which is expected on Oct. 20.
The offer period runs from Oct. 23 to 29, with the target listing date under the stock symbol “MYNLD” on Nov. 7.
Early investment commitments from global giants
Maynilad’s IPO has attracted a powerful mix of global and local cornerstone investors ahead of its market debut.
Leading the international lineup are the International Finance Corp., committing up to $100 million at a price of up to P15 per share, and the Asian Development Bank, considering an investment of up to $145 million subject to approvals.
They are joined by abrdn Malaysia Sdn. Bhd., the United Kingdom Foreign, Commonwealth and Development Office (through Mobilising Institutional Capital Through Listed Product Structures or MOBILIST), Maven Investment Partners Limited – Hong Kong Branch, Maybank Asset Management Singapore Private Limited, Robeco Switzerland Limited (up to $20 million), and QRT Master Fund SPC – Torus Fund SP.
Domestic cornerstone investors
On the domestic front, investors include BDO Capital, which signed a cornerstone deal at up to P15 per share, along with BPI Asset Management and Trust Corp. (BPI Wealth), Metropolitan Bank and Trust Co. (Metrobank), and Security Bank Corp. – Trust and Asset Management Group.
Maynilad is the Philippines’ largest water concessionaire and one of Southeast Asia’s biggest by population served, providing sustainable water and wastewater services to about 10.5 million people across Metro Manila’s West Zone and nearby Cavite.
Deal roadshow to be launched soon
Maynilad is now preparing to launch its institutional investor roadshow in the coming days.
“We are proud to reach this point in Maynilad’s story,” said Maynilad President and CEO Ramoncito S. Fernandez. “Our journey has always been guided by a clear mission—to deliver safe, sustainable, and reliable water and wastewater services to our customers. The submission of our preliminary prospectus marks another step in that mission, as we open the door for broader public participation while continuing to comply with all regulatory processes,” he added.
Final offer price may come down
Maynilad will offer 1.66 billion common shares, plus an overallotment of 249 million and a preferential tranche of 24.9 million shares.
The maximum offer price is set at P20 per share, but the P15 ceiling indicated by cornerstone investors suggests the final price could come in lower after the roadshow.
The company is required to list its shares under the terms of its franchise no later than January 2027.
—Edited by Miguel R. Camus
