2 IPOs set for September

After a long drought this year, two big initial public offerings (IPOs) are coming to the market in September that will pitch a new retail play and bring the first purely coconut business proposition to the local market.

The Philippine Stock Exchange (PSE) has approved the back-to-back IPOs of home improvement retailer All Home and coconut product exporter Axelum Resources Corp.

“We are excited with the back-to-back maiden offerings as we know investors have been waiting for IPOs in the stock market,” said PSE president and CEO Ramon Monzon.

These are the first two companies to debut on the PSE’s main board this year. Recently, property leasing and management firm Kepwealth Property Phils. Inc. listed on the PSE’s small, medium and emerging board.

Up to P20.7 billion worth of shares of Villar family-led All Home will be offered to the public in a mix of primary and secondary shares while Axelum’s equity deal can hit P7.7 billion.

Axelum’s offering will be held on Sept. 24 to 30. Listing on the PSE’s main board under trading symbol AXLM is tentatively set for Oct. 7.

The offering of All Home will be on Sept. 30 to Oct. 4. Listing under trading symbol HOME will be on Oct. 10.

A prospective agri-business play, 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.

The maximum offer price for Axelum is P6.81 per share. Pricing will be finalized on Sept. 19.

First Metro Investment Corp. and BPI Capital Corp. are the lead underwriters for Axelum’s IPO.

All Home 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 per share. Pricing will be finalized on Sept. 27. The offer shares represent 34.5 percent of All Home’s issued and outstanding capital stock.

UBS AG Singapore is All Home’s sole global coordinator and joint bookrunner while CLSA Ltd. and Credit Suisse (Singapore) Ltd. are joint bookrunners. PNB Capital and Investment Corp. and China Bank Capital Corp. are domestic underwriters.