MANILA - Internet service provider Converge ICT moved a step closer to listing via initial public offering (IPO) after the Securities and Exchange Commission (SEC) said Thursday it "considered favorably" the company's application.
The IPO would have a maximum value of about P41.55 billion, the SEC said.
The agency said that during its en banc meeting today, the body agreed to let Converge register up to 7.5 billion common shares for listing and trading on the main board of the stock exchange, subject to the company’s compliance with certain remaining requirements.
"The registration statement covers 480,839,941 shares for primary offering, 1,024,433,569 shares for secondary offering and 225,791,026 shares for overallotment at a maximum price of P24 apiece," the SEC said.
Converge expects to raise about P11.07 billion from this, with around 90 percent of the net proceeds to be used to fund its nationwide fiber network rollout.