MANILA - Del Monte Pacific Limited Inc on Wednesday said it would delay the planned initial public offering of its unit Del Monte Philippines due to volatile market conditions.
The surge of COVID-19 cases in the Philippines made the market “highly volatile” in recent weeks, Del Monte Pacific Limited told the stock exchange.
The manufacturer and distributor of various products such as canned pineapples is seeking a P44-billion IPO which is slated to become the country's second-largest next to Monde Nissin.
“Amidst a surge of COVID-10 cases in the Philippines and in the region, the PSE has been highly volatile in the recent weeks, and the Board believes that it is in the best interests of the company, its shareholders and potential investors to defer the listing until conditions improve,” the disclosure said.
Despite the delay, the company will continue discussions with potential investors and partners that have expressed interest during the IPO process, it said.
The company also “remains committed” to listing Del Monte Philippines Inc, citing “growth and resilience” of the business.
The Philippines will impose a lockdown in Metro Manila on Aug. 6 until Aug. 20 to curb the spread of COVID-19.
On Tuesday, the government confirmed an additional 6,879 additional COVID-19 cases.
The recent surge is worsened by the presence of the more transmissible COVID-19 Delta variant.
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