PROPERTY developer Italpinas Development Corp. enjoyed robust demand for its Initial Public Offering (IPO), the underwriter of the share sale said.
Unicapital, Inc. Managing Director Leonardo R. Arguelles, Jr. said in a mobile phone message said the allocation for the local small investors (LSI), trading participants (TP) and quality institutional buyers (QIB) was oversubscribed by multiple times at the close of the offering last Friday.
“LSI was fully taken up as of Tuesday. TPs [were] 3.5 times oversubscribed. QIBs [were] 3 times oversubscribed,” Mr. Arguelles said, adding the LSI was 2.6 times oversubscribed.
Unicapital, the issue manager and underwriter of the transaction, informed the Philippine Stock Exchange (PSE) on Nov. 24 — the second day of the offer period — that total applications of the LSI have already surpassed the 10% allocation of 5.763 million shares.
Italpinas is raising up to P207.44 million from the maiden share sale of 57.622 million common shares at P3.60 each.
The P3.60 offer price is 14.29% lower than the P4.20 maximum price the company initially announced, bringing down the gross proceeds from the original P242 million the company had intended to raise from the stock market.
The shares to be offered comprise 26% of the company’s outstanding capital stock.
Italpinas will be listed at the PSE’s Small, Medium and Emerging Board on Dec. 7.
Italpinas is the company behind Primavera City, a mixed-use project consisting of seven residential and commercial buildings in Cagayan de Oro City. Primavera integrates into its design eco-friendly features such as rooftop solar panels to generate part of the buildings’ electricity supply and reducing power use by maximizing natural light and wind ventilation.
The firm is acquiring a property in Sto. Tomas, Batangas where the company plans to undertake a mid- to highise residential project.
The company also plans more projects in Lipa, Batangas; Cagayan de Oro, Misamis Occidental; Subic, Zambales, Montelago, Oriental Mindoro; Dumaguete, Negros Oriental; and Iloilo City, Iloilo.
Italpinas is set to become the fourth company to join the stock market this year after Crown Asia Chemicals Corp., SBS Philippines Corp. and Metro Retail Stores Group, Inc. . pr
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