Capital raising on Philippine stock exchange may cross $4b in banner year 2021

A trader takes orders on a telephone at the Philippine Stock Exchange. Source: Reuters

Capital raising activities in the Philippines’ stock market are expected to reach around $4 billion this year, as a slew of companies make their public debuts to fund expansion, the bourse operator’s president said on Friday.

Consumer firms and newly launched real estate investment trusts (REITs) are set to transform the bourse, a historical regional laggard, into Southeast Asia’s biggest market for initial public offerings (IPOs) this year.

The bourse operator recorded 122.46 billion pesos ($2.49 billion) in capital raised through IPOs and sale of existing shares in the first semester, outpacing the 104 billion pesos recorded for the entire 2020.

With four more IPOs and REITs lined up, funds that will be raised this year will likely approach the record 228.33 billion pesos ($4.6 billion) of 2012, Philippine Stock Exchange Inc President and CEO Ramon Monzon told a news conference.

“Because of the pandemic, debt financing, while very cheap, became difficult because banks had to tighten their lending standards,” Monzon said.

Another key driver are the launches of REITs, which are property companies that offer regular dividends, he added.

Among completed offerings include Monde Nissin Corp’s $1 billion IPO, the Philippines’ largest-ever listing, in June and DDMP REIT Inc’s $302 million share sale in March.

In April, Del Monte Philippines Inc filed for an IPO that could raise up to 44.1 billion pesos, while a REIT unit of Megaworld Corp is launching an up to 27.3 billion pesos IPO.

The Philippines’ broader index is down 2.2% year-to-date, the region’s second-worst performer next to Malaysia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.