ALLIED Care Experts (ACE) Medical Center–Legazpi, Inc. received regulatory approval to conduct its P1-billion initial public offering (IPO).
In a statement over the weekend, the Securities and Exchange Commission (SEC) said that it has allowed the Legazpi-based hospital to issue a total of 240,000 shares.
The shares — to be traded over the counter —would be offered in five tranches of 36,000 common shares. Offer price ranges from P200,000 to P362,500 for every block of 10 shares.
Purchase of medical equipment has the biggest allocation from the net proceeds at P300 million.
The rest are for building construction (P244.23 million), architects and engineers fee (P47 million), office equipment, furniture and fixtures (P50 million), debt servicing (P170 million), pre-operating expenses (P55.5 million), and working capital (P129,789,793).
ACE Legazpi is putting up two hospital buildings in Barangay Bogtong, Legazpi City, Albay, which are eyed to be operational by December 2020.
The IPO’s target market includes mostly medical specialists and individuals related to them.
“Subscribing to the offer shares is a prerequisite for physicians and medical specialists to practice at ACE Legazpi. Such stockholders, however, must undergo a screening process and possess the minimum requirements as may be determined by the hospital,” the SEC said.
Earlier, the SEC approved the IPOs of ACE Medical Center-Tacloban Inc., ACE Malolos Doctors, ACE Medical Center-Butuan, ACE Dumaguete Doctors Inc., ACE Medical Center-Gensan Inc., ACE Medical Center-Bohol, ACE Medical Center-Cebu, and ACE Medical Center-Iloilo.