IPO of 2 firms approved

The Securities and Exchange Commission has approved initial public offerings planned by two companies—coconut products manufacturer Axelum Resources Corp. and Villar group-led home improvement retailer All Home Corp.— worth a combined P28.4 billion.

In its Aug. 19 meeting, the SEC en banc had authorized Axelum to raise as much as P7.7 billion from the sale of a mix of primary and secondary shares. All Home obtained clearance to raise as much as P20.7 billion, of which up to P12 billion will come from the primary portion of the offering.

Axelum will offer 400 million treasury shares and 300 million new common shares along with 430 million existing common shares held by private equity firm CP Compass Singapore Pte. Ltd.

At the maximum offer price of P6.81 a share, Axelum will be valued at 21 to 22 times prospective earnings.
After the IPO, about 28.25 percent of its shares will be in the hands of new investors.

AllHome, meanwhile, will offer 750 million new common shares and 375 million secondary shares held by AllValue Holdings Corp., which has the option to offer 168.75 million more. The maximum offer price is P16 a share.

The offered shares represent 34.5 percent of AllHome’s issued and outstanding capital stock.—DORIS DUMLAO-ABADILLA