The operator of the Didipio gold-copper mine in Nueva Vizcaya province in Luzon is selling shares to meet the requirements of its mining franchise.
Details on the offer pertaining to the timetable were also revised, according to the exchange.
Set to list under the stock symbol “OGP”, OceanaGold will set the final price of the IPO shares—tentatively valued at P17.28 each—on April 23 this year.
The offer period will run from April 29 through May 6 while the PSE listing date is set for May 13, 2024.
OceanaGold will be the first IPO to list this year, followed by tycoon Edgar Saavedra's Citicore Renewable Energy Corp., which aims to make its PSE debut on May 31, 2024.
The last mining company to list on the PSE was the Tiu family-led Coal Asia in 2012. That was the same year the late President Benigno Aquino III issued a ban on new mining projects.
Industry prospects are turning around as President Marcos’ economic advisors turn to the mining industry’s revival to boost economic growth.
The offering will consist of secondary shares held by OceanaGold (Philippines) Holdings Inc., a subsidiary of OceanaGold Corp.
This means the proceeds will go to the seller. BDO Capital & Investment Corp. will serve as the sole global coordinator, domestic underwriter, and bookrunner, with CLSA Ltd. acting as the international underwriter.
OceanaGold Philippines is selling up to 20 percent of its shares to outside investors. At the tentative IPO price, the company is valued at about P40 billion.
In its deal prospectus, OceanaGold Philippines indicated it has a dividend policy to distribute 90 percent of its fresh cash flow to shareholders, effective from the listing date.
The life of the Didipio mine is estimated to run through 2035.
The company also updated optimization work at the Nueva Vizcaya mine, aimed at increasing the production of larger volumes of higher-grade ore and extending the mine's operational life.
Miguel R. Camus has been a reporter covering various domestic business topics since 2009.
