ALLDAY Marts, Inc.’s upcoming P6.03-billion initial public offering (IPO) is seen to benefit from the upcoming holiday season.
The Villar-led company has just secured regulatory approvals for its IPO. AllDay’s offer period starts on Oct. 18 and will run until Oct. 25, while its market debut is set for Nov. 3. under the ticker symbol, “ALLDY.”
“We just entered the ‘Ber’ months where the mood is typically upbeat as we head into the consumption-driven holiday season,” Alvin Joseph A. Arogo, vice-president and head of research at the Philippine National Bank (PNB), said in a statement on Thursday.
PNB’s research division is expecting the benchmark Philippine Stock Exchange index (PSEi) to close at the 7,490 to 8,100 range by yearend “on [the] expectation that the relatively low yield environment will allow earnings multiples to remain elevated.”
On Thursday, the PSEi closed at 6,952.88, up by 18.77 points or 0.27%.
“GDP (gross domestic product) growth starting the second quarter of 2022 will encourage positive sentiment and investors are looking forward to less strict pandemic curbs overall,” Mr. Arogo said.
Meanwhile, AllDay Chairman Manuel B. Villar, Jr. said the approval of the Securities and Exchange Commission and the Philippine Stock Exchange of AllDay’s IPO is “a strong indication of the stability of AllDay.”
“This brings us closer to our vision to bring to the investing public another pandemic resilient business that continues to rapidly grow amidst the coronavirus disease 2019 (COVID-19) pandemic.”
AllDay’s IPO aims to raise as much as P6.03 billion from the sale of up to 6.86 billion primary common shares for up to 80 centavos apiece, with an overallotment option of 685.71 million.
Proceeds from the offer will be used for debt repayment, capital expenditures and initial working capital for store network expansion.
As of end-June, AllDay has 33 stores, and the company aims to have 45 branches by 2022 and 100 stores by 2026.
The company assigned PNB Capital and Investment Corp. as the sole issue manager for the transaction. It will be joined by BDO Capital and Investment Corp. and China Bank Capital Corp. as joint underwriters and joint bookrunners for the transaction. — Keren Concepcion G. Valmonte
