Datem shelves IPO seeking up to P4.6B

Published November 20, 2015 7:12pm

Home builder and construction company Datem Inc. said on Friday it is postponing an initial public offering (IPO) that could have raised up to P4.6 billion as weak market conditions plague listing plans on the Philippine Stock Exchange.

The broader stock market index has dropped 4.4 percent this month, as foreign investors pull out of emerging markets ahead of the expected US Federal Reserve rate hike.

Datem only began marketing on Monday what would have been the country's fourth IPO this year, with an indicative price range of P8.75 to P10.75 per share, well below initial guidance of a maximum price of P14.15. It had planned to sell up to 329.05 million shares in total.

Earlier this month unfavorable market conditions also prompted Philippine supermarket and department store chain Metro Retail Stores Group Inc. to price its IPO at a discount.

In a notice to the exchange, Datem said it will advise the corporate regulator when it has a revised timetable for the listing. – Reuters

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