The Philippine Stock Exchange has approved the initial public offering (IPO) of Chemical distributor and trader SBS Philippines Corp., according to a PSE disclosure.
The chemical distributor is offering up to 420 million common shares with a par value of P1 per share from its authorized and unissued capital stock.
The offer price may reach up to P2.75 per share, according to the disclosure.
After the completion of the offer, the shares will account for 35 percent of the company’s issued and outstanding shares.
BDO Capital and Investment Corp. was appointed as the Sole Issue Manager, Lead Underwriter and Bookrunner of the maiden offer, which is expected to be listed on the PSE main board on August 10.
In the disclosure, the company said that it intends to use the net proceeds from the offer to expand its product offering and invest in capital expenditures to promote operational efficiencies, partially retire a term loan and lastly, fund working capital purposes.
SBS Philippines is a chemical distributor that offers a comprehensive selection of chemical products. It clients come from a range of industries such as food and beverage, veterinary care, pharmaceutical, personal care and cosmetics.
In 2014, the company’s net income rose to P100.17 million from P60.32 million a year earlier, as revenues jumped to P933 million from P785.94 million.