PSE eyes to finalize 2 out of 6 IPO targets this year | ABS-CBN
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PSE eyes to finalize 2 out of 6 IPO targets this year
MANILA -- Two companies are expected to go public this year as the Philippine Stock Exchange eyes to double the number of initial public offerings (IPOs).
PSE President Ramon Monzon is optimistic that renewable energy company Citicore Renewable Energy Corporation and mining company OceanaGold Corporation will make their debut in the capital market soon.
Aside from the two, Monzon noted that there are six companies who have expressed interest to file for IPO.
MANILA -- Two companies are expected to go public this year as the Philippine Stock Exchange eyes to double the number of initial public offerings (IPOs).
PSE President Ramon Monzon is optimistic that renewable energy company Citicore Renewable Energy Corporation and mining company OceanaGold Corporation will make their debut in the capital market soon.
Aside from the two, Monzon noted that there are six companies who have expressed interest to file for IPO.
PSE is looking to double the number of approved IPOs this 2024 from three IPOs in 2023. It aimed for 14 IPOs last year but failed to meet the target.
PSE is looking to double the number of approved IPOs this 2024 from three IPOs in 2023. It aimed for 14 IPOs last year but failed to meet the target.
“I know of six, if they’re gonna push through, I think most of them will. If a few of them won’t, there will be other ones na hindi ko pa alam. There are LEAP clients here, baka makumbinsi natin maglist,” Monzon said.
LEAP is PSE’s Listing Engagement and Assistance Program for companies exploring the prospects of IPO listing.
Monzon added that among those looking into the possibility of listing are real estate investment trusts and gaming.
With more than 70 LEAP clients, PSE said majority are from industries of energy and utilities, industrial, property, technology and media, and consumer.
“I know of six, if they’re gonna push through, I think most of them will. If a few of them won’t, there will be other ones na hindi ko pa alam. There are LEAP clients here, baka makumbinsi natin maglist,” Monzon said.
LEAP is PSE’s Listing Engagement and Assistance Program for companies exploring the prospects of IPO listing.
Monzon added that among those looking into the possibility of listing are real estate investment trusts and gaming.
With more than 70 LEAP clients, PSE said majority are from industries of energy and utilities, industrial, property, technology and media, and consumer.
The PSE also wants to see more companies outside Metro Manila as the “market is improving.”
The PSE also wants to see more companies outside Metro Manila as the “market is improving.”
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“The year started very well. With the strong market, hopefully those who are waiting for a good time, maybe this is a good time. Maghanda na kayo. Tsaka na kayo magdesisyon. Prepare the groundwork now,” Monzon said.
Philequity Management Vice President and Fund Manager Miguel Agarao cited easing inflation, a strong peso and the GDP turnout as signals that the market has bounced back.
Wilcon Depot President and CEO Lorraine Belo-Cincochan shared how IPO listing helped the company grow and get through capital difficulties.
“The year started very well. With the strong market, hopefully those who are waiting for a good time, maybe this is a good time. Maghanda na kayo. Tsaka na kayo magdesisyon. Prepare the groundwork now,” Monzon said.
Philequity Management Vice President and Fund Manager Miguel Agarao cited easing inflation, a strong peso and the GDP turnout as signals that the market has bounced back.
Wilcon Depot President and CEO Lorraine Belo-Cincochan shared how IPO listing helped the company grow and get through capital difficulties.
“We really need a large block of land. So that kind of made us a bit slow and growing compared to now so we only grow from two to three, maximum five stores a year. Now, we’re able to do eight stores a year. Before we listed, we had normal bank loans but you wouldn’t do collateral and you could only kind of stretch it so far that you would only be able to go to three stores. When we listed, we got funds, we were able to fast track and all this capital raised and the plans that we had, we just kind of went straight forward with 8, 10 stores,” Cincochan said.
“We really need a large block of land. So that kind of made us a bit slow and growing compared to now so we only grow from two to three, maximum five stores a year. Now, we’re able to do eight stores a year. Before we listed, we had normal bank loans but you wouldn’t do collateral and you could only kind of stretch it so far that you would only be able to go to three stores. When we listed, we got funds, we were able to fast track and all this capital raised and the plans that we had, we just kind of went straight forward with 8, 10 stores,” Cincochan said.
For companies still considering to go public, Agarao stressed the importance of having a “growth story” and banking on the company’s credibility to attract investors in the market.
“We need a story that will sell, then your stock goes up…It’s your fundamentals. It’s the credibility of management. But like the big funds, they don’t care if you don’t grow in the first two years. If they see that management really wants to make your company grow, they’re responsible, they’re hands on, they will buy your stock for a five-tenure,” Agarao said.
For companies still considering to go public, Agarao stressed the importance of having a “growth story” and banking on the company’s credibility to attract investors in the market.
“We need a story that will sell, then your stock goes up…It’s your fundamentals. It’s the credibility of management. But like the big funds, they don’t care if you don’t grow in the first two years. If they see that management really wants to make your company grow, they’re responsible, they’re hands on, they will buy your stock for a five-tenure,” Agarao said.
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