PSE sees 2-3 more IPOs before year-end
The Philippine Stock Exchange (PSE) is hoping that two to three more companies will get to offer and list their shares before the end of the year with the market now relatively stable after plunging in past months.
"We're looking at two to three more listings," said PSE Chief Operating Officer Roel Refran adding that this is just a fraction of the number of initial public offering (IPO) and other stock offering and listing applications in the bourse’s pipeline.
Most stock offerings had been held back due to the recent weakness in the global equities market. So far this year, only two companies managed to launch their maiden stock offerings: Crown Asia Chemicals Corporation which raise 222.78 million and SBS Philippines Corporation's 1.16-billion IPO.
In the first eight months of the year, the PSE registered 105 billion worth of stock listings, flat compared to last year's 105.18 billion. Most of the listings consisted of follow-on offerings and private placements.
The recovery in the stock market has made PSE President-CEO Hans B. Sicat more confident that the bourse may be able to hit its target of 200 billion worth of listings for the year.
"Maybe it will be easier for other transactions to actually happen. The belief that there won't be a raise in the rates of the Fed, it's kinda like business as usual on that front, then you have one less factor to consider. So it might be easier for issuers to decide," he said.
For his part, Securities and Exchange Commission (SEC) associate commissioner Ephyro Luis Amatong said there are about six to eight applications for stock offerings pending before the commission of which “five to six” are IPOs.
He said the SEC is looking to fast-track the approval of these applications.