Travellers International Hotel Group Inc., the joint venture between business magnate Andrew Tan and Malaysian gaming tycoon Lim Kok Thay, has priced its $473-million initial public offering (IPO) at P11.28 apiece, still within its original guidance of P10.65 to P11.88 offer price.
Lauro Baja, managing director for UBS in the Philippines, said in a text message to reporters that Travellers, the owner of Resorts World Manila, has priced its $473-million IPO at P11.28 each share, achieving a market capitalization of $4.2 billion.
“The international tranche was five times oversubscribed with over 100 investors. Although there was a demand at the top, Travellers decided to price at the midpoint to ensure aftermarket support,” he said.
According to Baja, 70 percent of the investors that are attracted to Travellers shares come from Asia, while 20 percent come from Europe and 10 percent from the United States.
By the type of investors, Baja said that 60 percent are long-term investors and sovereign wealth funds, while the rest are split between hedge funds and private banks.
In Philippine peso terms, Travellers will raise proceeds of about P20.4 billion including the overallotment option through the IPO.
Shares of the company will be officially listed on November 5 under the stock symbol of “RWM.”
Travellers tapped BofA Merrill Lynch, CIMB, Maybank Kim Eng, Regilare Investment Banking and Securities and UBS as the joint global coordinators, international bookrunners and international lead managers, respectively, while the international co-bookrunners are CLSA, Credit Suisse and Morgan Stanley.
The domestic lead underwriters, on the other hand, are BDO Capital, Maybank ATR Kim Eng and UBS.
Madelaine B. Miraflor