Construction firm Datem Inc. has decided to delay its initial public offering (IPO), the terms for which could also be revised.
No reason was given for the move, which cut the likely tally of 2015 listings at the Philippine Stock Exchange (PSE) to five.
“Please be advised that Datem Inc., together with BPI Capital Corp. and First Metro Investment Corp. (FMIC) … is deferring the company’s upcoming initial public offering to a later date,” the firm said in a disclosure.
BPI Capital and FMIC are the joint issue coordinators, lead underwriters and bookrunners for the offering
“The company will advise the Securities and Exchange Commission and the Philippine Stock Exchange Inx. of the revised timetable as soon as possible,” Datem added.
“In this connection, the company reserves the right to adjust the terms of the offer.”
Company officials were not immediately available for comment.
Datem had said that it was planning to raise up to P4.65 billion through the sale of 329.046 million shares — 286.127 million for the base offer and 42.919 million more in case of oversubscription – priced at a maximum of P14.15 per share.
The offer period was to run from November 24 to December 1, with a listing at the PSE Main Board targeted for December 8. Datem would have ended up with 15 percent public ownership and a market capitalization of P26.99 billion.
The Quezon City-based contractor firm has almost 30 ongoing projects with big developers such as Megaworld Corp., Shang Properties Inc., Greenfields Development Corp., Federal Land Inc., and Robinsons Land Corp.
PSE approval of the Datem IPO was announced just last week, along with the listing plans of DM Wenceslao and Associates, Inc. and Italpinas Development Corp.
The bourse said the three listings would allow it to hit the P200-billion capital raising level this year and a downwardly adjusted IPO target of five after global market volatility prompted companies to reconsider their listing plans.
Just two firms have gone public this year: Crown Asia Chemicals Corp. and SBS Philippines Corp. A third, Metro Retail Stores Group Inc., is scheduled to list next week but the firm was forced to cut its offer price.