Maynilad Water Services Inc. has cut the maximum offer price for its initial public offering (IPO) to P15 per share from P20 per share after locking in cornerstone investors.
This values the prospective equity deal at P34.33 billion at the most, down from P45.8 billion previously.
It follows the commitment of International Finance Corp. and Asian Development Bank to invest up to $245 million in the concessionaire’s IPO. Maynilad president Ramoncito Fernandez confirmed there were other cornerstone investors, although he stayed mum on the details.
Offer period
Maynilad will announce its final offer price on Oct. 20.
The offer period will run from Oct. 23 to Oct. 29. The shares will be listed on the main board of the Philippine Stock Exchange on or before Nov. 7 under the ticker ‘MYNLD.’
This is the second time that Maynilad has adjusted its IPO timetable, citing the need to give investors more time to assess the company’s business model in order for them to make ‘informed investment decisions.’
The West Zone concessionaire is required to offer to the public at least 30 percent of its outstanding capital stock on or before January 2027 as part of its agreement with the government. /dda