[ad_1]
The Philippine Stock Exchange, Inc. (PSE) approved the planned initial public offering (IPO) application of Converge Information and Communications Technology Solutions, Inc. (Converge) worth up to P41.55 billion.
Coverge aims to raise P36.13 billion from the sale of up to 480.84 million primary shares and 1.020 million secondary shares at a price of up to P24.00 per share. With his overallotment option of 225.79 million shares, the amount of the public offering can be as high as P41.55 billion.
“We are pleased that Converge has chosen to leverage the equity market to raise funds for its equity investments,” said PSE President and CEO Ramon S. Monzon.
He noted that, “Internet connectivity is a primary service right now, with online classes and arrangements to work from home due to the pandemic. We look forward to the company’s debut in the market, especially as demand for Internet connection is expected to remain strong. “
The final offering price will be determined on October 9, 2020 after the company completes its book creation process. Converge will maintain the offer period from October 13 to 19, 2020.
The PSE said that 10 percent of the offered shares of Converge will be reserved for local small investors (LSI), who can subscribe to the IPO through the PSE EASy website (http://easy.pse.com. ph) or the mobile app.
From the core offering, Converge expects to raise around P11.07 billion, of which about 90 percent will be used to finance capital expenditures to accelerate the deployment of its fiber network nationwide.
Morgan Stanley Asia (Singapore) Pte. And UBS AG Singapore Branch will act as joint global coordinators and joint booking brokers for the offering, along with Credit Suisse (Singapore) Limited and Merrill Lynch (Singapore) Pte. Ltd. as joint bookmakers international
Meanwhile, Converge selected BPI Capital Corporation as sole local coordinator and joint local underwriter and joint book broker with BDO Capital & Investment Corporation. Asia United Bank Corporation, First Metro Investment Corporation, Maybank ATR Kim Eng Capital Partners, Inc., PNB Capital and Investment Corporation and RCBC Capital Corporation will also act as participating local underwriters.
SIGN UP FOR THE DAILY NEWSLETTER
CLICK HERE TO REGISTER
