Retail investors can buy as much as P1M in Keepers re-IPO
Retail magnate Lucio Co-led The Keepers Holdings Inc. launched on Thursday its P4.5 billion re-initial public offering (re-IPO), pitching to investors a stake in the country’s largest distributor of imported spirits.
The Securities and Exchange Commission allowed local small investors (LSIs) participating in the follow-on offering to subscribe to as much as P1 million worth of shares. This is 10 times the usual maximum LSI allotment of P100,000 per investor.
Earlier this year, the maximum allotment had also been raised to P1 million for much larger equity deals, including the initial public offerings of Monde Nissin (P48.6 billion) and MREIT Inc. (P15.3 billion). Most recently, a P1-million LSI cap was likewise allowed for the follow-on offering of Synergy Grid & Development Phils. Inc. (P13.8 billion).
Keepers is offering 3 billion primary common shares at a price of P1.50 per share until Nov. 10.
Tentative listing on the main board of the Philippine Stock Exchange under the trading symbol “KEEPR” is on Nov. 19.
After the re-IPO, Keepers will have a public float of 20.94 percent and a market capitalization of about P21.76 billion.
China Bank Capital Corp., PNB Capital and SB Capital Investment Corp. are the joint issue managers, joint lead underwriters and joint bookrunners for the offering.
Largest distributor
Keepers is the largest distributor of imported spirits in the Philippines holding a 74-percent market share in terms of volume through three operating units: Montosco Inc., Meritus Prime Distributions Inc. and Premier Wine and Spirits Inc. Its portfolio includes brands such as Alfonso, Johnnie Walker, Chivas Regal, Glenfiddich, Jose Cuervo, Jim Beam, Martell, Absolut, Red Bull and Jinro.
Keepers president Jose Paulino Santamarina said the offering would allow both institutional and retail investors to experience the company’s potential future value “as it transitions from a company without any operations or real resources to a holding company with three highly profitable operating subsidiaries.”
Santamarina said these units were well-positioned for further growth and expansion, as the proceeds from the follow-on offering would finance strategic acquisition opportunities, expansion of product portfolio and distribution channels, investments in distribution and logistics network and working capital.
