• SSI Group cuts IPO price to P7 to P7.50


    Soon-to-be-listed high-end fashion retailer SSI Group Inc. has reduced the valuation of its initial public offering (IPO) to an indicative price range of P7 to P7.50 per share from the initially set P12 per stock.

    Marti Atienza, vice president of SSI Group’s Investor Relations Department, said that the indicative stock price range of the IPO at P7 to P7.50 is in accordance with a series of consultations with underwriters and big investors.

    “Following consultations with our underwriters and discussions with large institutional investors, we believe [the P7 to P7.50 offer price]is reasonable and in line with valuations for comparable companies,” Atienza said.

    “If the greenshoe option is exercised, we could raise P7.45 billion, equivalent to 30 percent public float. If it’s not exercised, then maybe around 20 percent,” she added.

    A roadshow to market the shares will be done in Singapore, Hong Kong and London from October 15 to 22. The shares will be offered on October 27 to 31, and the company targets to list on the stock exchange on November 7.

    Meanwhile, SSI Group President Anton Huang said that the company will launch an e-commerce site catering to Filipinos who wish to shop for SSI Group brands online.

    “I feel e-commerce will be part of the retail landscape in the long term and we want to be part of the first to market,” Huang said.

    The e-commerce platform, called SSILife.com, will initially feature 20 brands of the SSI Group, and will later on expand into mobile application.

    The company is optimistic in listing as much as 993.9 million shares amounting to P7.45 billion, including the overallotment option, due to strong investor demand.

    Earlier, the SSI Group said it secured approval from the Securities and Exchange Commission to offer 993.9 million shares for its P7.45-billion IPO.

    The 993.9 million shares to be issued will come from the company’s 864.2 million primary shares (80 percent) and 129.6 million secondary shares (20 percent) for the overallotment option.



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