Shares of food and beverage kiosk operator Fruitas Holdings Inc. opened at P1.82 per share during its market debut on Friday, up 8.33% from its initial public offering (IPO) price of P1.68 apiece.
“FRUIT opened at P1.82 today and reached an intraday high of P2.34 so far due to strong demand from the retail investors despite the negative performance of the overall index,” Timson Securities equity analyst Jervin de Celis said.
Listed on the Philippine Stock Exchange’s (PSE) main board, Fruitas offered 533,660,000 primary common shares with an over-allotment option of up to 68,340,000 outstanding common shares.The offer shares account for up to 28.2% of the company’s total shares issued.
Proceeds from the IPO totaling P1.01 billion will fund Fruitas’ store network expansion and improvement, acquisitions and new concept introductions, commissary expansion, and debt repayment.
The company targets to expand its store network to 150 to 250 stores a year until 2022, and acquire value-adding food services, introduce new concepts, and diversify distribution channels.
Fruitas has over 20 brands in its portfolio, including Fruitas Fresh From Babot’s Farm, Buko Loco, Juice Avenue, Buko Ni Fruitas, Johnn Lemon, and Black Pearl.
Its portfolio also includes food parks such as Uno Cinquenta in Maginhawa and Le Village The Lifestyle Park along E. Rodriguez St.
Three other companies also went public this year—Kepwealth Property Phils. Inc. in August, and Axelum Resources Corp. and AllHome Corp. in October. —VDS, GMA News