Globe CEO, GCash directors bought P77-M in shares before post-IPO slide

Insider Spotlight

• Four GCash directors acquired nearly P77 million worth of shares at the IPO price before the stock’s subsequent decline.

• UBS spent P5.17 billion supporting GCash shares, using up 65 percent of its maximum stabilization buying capacity in the first trading week.

• GCash CEO Martha Sazon sold P291 million worth of shares through the IPO, retaining a stake valued at P1.1 billion.

Four  directors of Gcash operator Mynt Inc. acquired about P77 million worth of shares during the fintech giant’s blockbuster market debut, a show of confidence that preceded a rocky first week of trading despite billions of pesos in buying support.

The stock touched a low of P5.95 on Monday, Oct. 26, before recovering to close at P6.27, still 5 percent below its P6.60 initial public offering price just six days earlier.

GCash president and CEO Martha Sazon also sold nearly P291 million worth of shares, which was previously disclosed in the IPO prospectus. 

UBS, the IPO stablizing agent, spent about P5 billion trying to cushion selling pressure on Gcash’s first week, a separate corporate filing showed. 

Carl Cruz 

Globe Telecom CEO and GCash director 

Heavyweight buyers

The four directors acquired a combined 11.66 million shares at the P6.60 IPO price on Oct. 20, led by veteran financial executive Rex Mendoza, chair of Rampver Financials and an Ayala Land director, who bought P50 million worth.

Globe Telecom president and CEO Carl Cruz followed with P21.45 million, while former Development Bank of the Philippines president and ex-Credit Suisse country manager Simon Paterno and former SGV & Co. partner Gemilo San Pedro acquired P3 million and P2.5 million, respectively.

All four acquisitions took place on listing day, before GCash shares began losing ground in subsequent trading sessions, corporate filings showed. 

P5.17 billion in buying support

UBS purchased 786.57 million GCash shares at an average price of P6.5711 during the week ending Oct. 23/ 

That accounted for about 65 percent of the maximum 1.204 billion shares it was authorized to purchase during the stabilization period, leaving roughly 417.54 million shares available for potential additional buying.

CEO’s over P290-million sale

Meanwhile, Sazon reported disposing of 44.02 million shares worth P290.55 million on Oct. 20, consistent with her previously disclosed plan to sell part of her holdings through the IPO.

The transaction reduced her stake to 176.09 million shares, worth about P1.10 billion at Monday’s closing price of P6.27.

—Edited by Miguel R. Camus