Chelsea marks down IPO price by 27 percent

Businessman Dennis Uy’s Chelsea Logistics Holdings Corp. is pricing its initial public offering (IPO) at a 27-percent discount to an earlier indicated ceiling price.

According to underwriter BDO Capital and Investment Corp., Chelsea Logistics’ IPO shares were priced at P10.68 apiece, which would allow the company to raise P5.8 billion for its expansion and acquisitions.

It was earlier hoping to raise almost P8 billion at a maximum offer price of P14.63 per share.

“At such price, the book will be sufficiently covered and the shares of Chelsea Logistics will have a lot of room for upside in the equities market,” BDO Capital president Eduardo V. Francisco said in a statement.

The company is selling 30 percent of its shares to the public. The offer period will run from July 24-31 while the target listing date is on Aug. 8 this year under the ticker symbol “CLC.” —MIGUEL R. CAMUS