FRUITAS Holdings, Inc. has gained the approval of the Philippine Stock Exchange, Inc. (PSE) to conduct its initial public offering (IPO) next month.
The food and beverage kiosk operator is planning to offer 533,660,000 shares with an over-allotment option of up to 68,340,000 shares, which will be priced at a maximum of P1.99 apiece. This would raise up to P1.2 billion in total for the company.
The final terms and conditions of the offer — including the actual number of shares it will sell and the offer price per share — are yet to be finalized.
Fruitas will announce pricing details on Nov. 14, while the offer period will be from Nov. 18 to 22. The company will list its shares, with the ticker FRUIT, on the bourse on Nov. 29.
The company said it will be using the proceeds from its IPO to expand its store network and to fund further acquisitions, introduction of new concepts and debt repayment.
Fruitas has 949 stores as of June 30 and owns more than 20 brands, including Fruitas Fresh From Babot’s Farm, Buko Loco, Juice Avenue, Buko Ni Fruitas, Johnn Lemon and Black Pearl.
In 2018, it was able to record a consolidated revenue of P1.58 billion, growing 37% from a year ago due to the robust sales from its stores nationwide.
Aside from beverage kiosks, Fruitas also operates food parks such as Uno Cinquenta in Maginhawa and Le Village The Lifestyle Park in E. Rodriguez, Sr. It also bought Negril Trading in 2015 to take over De Original Jamaican Pattie Shop and Juice Bar, and assets of Sabroso Lechon last year.
BDO Capital & Investment Corp. and First Metro Investment Corp. are working on Fruitas’ IPO plan as joint issue managers, bookrunners and lead underwriters.
Fruitas President and Chief Executive Officer Lester C. Yu earlier said going public would allow the company to strengthen its position as the “leading food & beverage kiosk business player in the country.”
Aside from Fruitas, Cal-Comp Technology (Philippines), Inc. is also planning to conduct an IPO next month, with approval from the Securities and Exchange Commission obtained last week.
Other companies that have gone public this year are Kepwealth Property Phils, Inc. in August and Axelum Resources Corp. and AllHome Corp. earlier this month. — Denise A. Valdez