Po Sr.
MANILA, Philippines – It’s all systems go for the stock market debut of pizza chain Shakey’s Philippines after the Philippine Stock Exchange (PSE) approved this week the company’s planned initial public offering (IPO), the final requirement for the listing scheduled on Dec. 15.
“We already approved it,” PSE president Hans Sicat said yesterday.
Earlier, Shakey’s Pizza Asia Ventures Inc (SPAVI), the leading full-service restaurant in the country owned by the Po family, also secured the approval of the Securities and Exchange Commission (SEC), the corporate regulator.
SPAVI seeks to raise up to P5.5 billion from the IPO to be used for debt repayment, capital requirements and strategic acquisitions.
According to the prospectus filed with the SEC, the company will sell up to 352 million primary and secondary shares, including an over allotment of 46 million shares to cater for extra demand.
SPAVI has set a maximum price of P15.58 each with the final price setting date scheduled on Nov. 28.
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The offer period will run from Dec. 2 to 8, according to underwriter BDO Capital & Investment Corp.
Filipino-Chinese businessman Ricardo Po Sr., the family patriarch, has said the company is proceeding with the listing on Dec. 15 despite the perceived market volatility.
“We will proceed with the listing as scheduled. The investors are all interested,” Po told The STAR.
SPAVI is majority owned by the Po Family’s Century Pacific Group Inc (CPGI), parent company of Philippine listed Century Pacific Food Inc (CNPF).
Earlier this year, CPGI and GIC, Singapore’s sovereign wealth fund, partnered to acquire majority of the pizza business from the Prieto family, which continues to hold a minority stake in SPAVI.
SPAVI appointed Deutsche Bank AG as sole global coordinator and bookrunner for the deal, with BDO Capital and First Metro Investment Corporation as joint lead managers and underwriters.
Evercore is acting as exclusive financial adviser to SPAVI.
Shakey’s, recognized globally as the original pizza franchise in the US, was first established there in 1954 and is best known “the pizza that started it all.” It first opened in the Philippines in 1975 and is famous for its thin crust pizzas and its chicken and mojos.
Locally, where SPAVI owns the rights to the Shakey’s trademark, the company holds the number one position in the traditional full service pizza chain and family style casual dining categories. It had 177 stores all over the country as of June, with plans to expand in the greater Manila and provincial areas. Seven more stores are expected to open before the end of 2016, with 20 more new stores in the pipeline for 2017.
