In a statement discussing the PSE’s latest financial results, Monzon said they expect to see five more follow-on offers (FOO), one stock rights offering (SRO), and one IPO.
“Of the five FOOs, three are expected to proceed in September while the IPO, SRO, and remaining FOOs are tentatively scheduled in the fourth quarter,” Monzon said.
Big picture
The stock exchange has boosted its earnings through fees from listed companies, compensating for the decline in trading volumes.
The weak market environment pulled down the PSE’s profits by 4.7 percent to about P400 million during the first semester of 2024.
The three IPOs so far this year were OceanaGold Philippines (P6 billion), Citicore Renewable Energy (P5.3 billion)—both of which happened during the first semester—and NexGen Energy Corp. (P500 million).
There were also three FOOs, one SRO, and three listings via private placement deals.
So who is the fourth IPO candidate?
Monzon did not immediately reply to queries on the identity of the fourth IPO candidate.
One company that signaled interest in listing this year is South Korean businessman Dae Sik Han, owner of the Hann Resort integrated casino in Pampanga, which was first reported by InsiderPH.
BSP starts lowering rates
An insider revealed that the company has been seriously contemplating postponing its roughly $200 million (P11.4 billion) debut as recently as last week.
This was, however, before the Bangko Sentral ng Pilipinas cut interest rates for the first time in two years—a move that usually bodes well for the market.
The insider said their main consideration was sentiment overseas, not just the domestic market, given the relatively large size of the offer.
“It’s really big so international is key,” the insider said.
PSE hopes to ride recovery
“Persistent high interest rates and geopolitical concerns contributed to tepid trading in the first half. We hope to see more active trading for the rest of the year on expectations of a rate cut and the record first-half earnings of banks and other listed firms,” Monzon said on Thursday.
Another potential catalyst is the acquisition of Philippine Dealing System Holdings Corp., uniting the country’s equities and bond trading platforms.
“PSE continues to pursue projects that will sustain the company’s growth over the years. This includes the planned acquisition of the Philippine Dealing System Holdings Corp., which we target to complete in the next few months,” he added.
Miguel R. Camus has been a reporter covering various domestic business topics since 2009.
