Maynilad Water Services Inc. has priced its initial public offering at P15 per share, aiming to raise up to P34.35 billion ($588 million), making it the second largest IPO in Philippine history after Monde Nissin’s P48.6-billion debut in 2021.
The west zone water concessionaire is offering 2.29 billion shares, including 1.66 billion primary shares, 24.9 million shares under a preferential offer to First Pacific Co., an upsize option of 354.7 million secondary shares, and an overallotment of up to 249.05 million shares.
The offering period runs from October 23 to 29, with listing on the Philippine Stock Exchange set for November 7. It marks only the second IPO in the country this year, amid subdued market sentiment.
Maynilad secured strong backing from cornerstone investors, who will take up over 50 percent of the offer, equivalent to about 30 percent of the company’s post-IPO outstanding shares.
International Finance Corp. (IFC) and the Asian Development Bank (ADB) are leading the cornerstone tranche, with planned investments of up to $100 million and $145 million, respectively, at the IPO price. Other cornerstone investors include the UK’s MOBILIST, abrdn Malaysia, Robeco Switzerland, and several major Philippine banks such as BPI, Metrobank, BDO, and Security Bank.
All cornerstone investors have signed agreements to purchase shares at the P15 offer price, though not all disclosed committed amounts.
