Ayala-led Integrated Microelectronics Inc. has committed to remain listed on the Philippine Stock Exchange, expecting to pursue an initial public offering by the end of 2013 or next year.
When the electronics manufacturing services firm listed by way of introduction, or without an IPO in 2010, it was required to conduct a public offering within a year but it was unable to do so because of weak market conditions. It had to seek a grace period from PSE on the IPO requirement although at the end of last year, it was able to comply with the minimum public float requirement of 10 percent for continuing listing.
“Our interest is to stay as a listed company on the PSE,” Jaime Augusto Zobel de Ayala said during the company’s stockholders’ meeting yesterday.
In a press briefing after the stockholders’ meeting, IMI chief finance officer Jerome Tan said IMI would like to get the “optimum” price when it sells shares to the public. At present, however, he said global market conditions were still quite soft and not favorable for the export-oriented IMI to rush into the market.
IMI has grown from a Philippine-based electronics manufacturer in 2002 to a global company with manufacturing and engineering hubs in Asia, North America and Europe. Only 24 percent of its production capability is anchored on the Philippines. The company has grown to be the 20th biggest electronics manufacturing (EMS) services provider in the world in terms of revenues, based on a ranking made by US-based EMS trade publication Manufacturing Market Insider.
Tan said there were signs of a global recovery this year, saying the possible timetable for an IPO could be either at the end of this year or next year.
“Despite global uncertainties and challenges in major markets, we are undaunted that we will soar higher in 2013,” said IMI president Arthur Tan during the stockholders’ meeting. During the briefing, he added that this year would likely be better for the company in terms of revenues, net profit and margins.
IMI grew consolidated sales revenues by 15 percent last year to $661.8 million, resulting in a net profit of $5.4 million compared to $3.3 million in 2011. The double-digit rise in revenues was on the back of acquisitions as well as the business expansion of key customers. Doris C. Dumlao