The Philippines could see its largest initial public offering (IPO) this year if tycoon Enrique Razon floats his infrastructure and energy holding firm.
Prime Infrastructure Capital plans to raise up to 28 billion pesos ($515 million) from a sale of 1.93 billion shares, including an over-allotment option, at a maximum price of 14.60 pesos apiece.
In Philippine filings, IPO prices are typically set above final selling prices, and the number of shares for sale could be cut.
If approved, the company will target October for the offer period and listing on the Philippine bourse, which has seen the listing of seven firms this year. The main index has lost 11% so far this year, tracking regional peers.
Razon, who Forbes says is the second-richest person in the Philippines with a net worth of $6.7 billion, built his fortune through casino-resort group Bloomberry and global port operator International Container Terminal Services.
The 62-year-old earlier this month announced his acquisition of a controlling stake in a South China Sea gas field from fellow tycoon Dennis Uy, a supporter of former president Rodrigo Duterte who sold off many of his assets after the most recent election.
Prime Infrastructure is building the world’s largest solar power facility, with a capacity of 2,500-3,500 megawatts (MW), combined with a 4,000-4.500 megawatt-hour battery energy storage system.
A banking source prior to Tuesday’s filing told Reuters the amount of capital required in Razon’s expansion programme was too high for the debt or loan market.
Prime Infrastructure has hired BDO Capital, BPI Capital and CLSA Ltd to facilitate the deal.
- Reuters, with additional editing by George Russell