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Monde Nissin IPO ‘oversubscribed’ as offer period closes

Monde Nissin Corporation on Wednesday announced it has completed its initial public offering (IPO) of 3,600,000,000 common shares on the Philippine Stock Exchange.

The company priced its IPO at P13.50 per share. The offer also has an overallotment option of a further 540,000,000 common shares.

The offer period ran from May 19 to 25.

Monde Nissin said the offering received overwhelming interest from global institutional investors and long-only funds, as well as strong demand from Philippines-based investors, “resulting in an international and domestic book building process that was multiple times oversubscribed.”

The IPO is the largest ever on the PSE and the largest food and beverage IPO in Southeast Asia, it said.

Monde Nissin raised P48.6 billion, net of underwriting commissions and other offering expenses payable.

It said that international and domestic investors join the previously announced 11 renowned, global long-term “cornerstone” investors in making up Monde Nissin’s initial shareholder base. 

The cornerstone investors are: AIA Investment Management Private Limited, Stichting Depositary APG Emerging Markets Equity Pool, Avanda Investment Management Pte. Ltd., The Capital Group Funds, Eastspring Investments (Singapore) Limited, FIL Investment Management (Hong Kong) Limited, GIC Private Limited, Goldman Sachs Asset Management (Singapore) Pte. Ltd., M&G Investment Management Limited, NS Partners Ltd and RWC Asset Advisors (US) LLC.

“The extraordinary level of interest that we received from a broad range of international and domestic investors is a testament to the world-class company that we have built and the significant growth opportunities that lie ahead,” said Henry Soesanto, chief executive officer of Monde Nissin Corporation.

“Our Quorn and Asia-Pacific Branded Food and Beverage businesses are a powerful combination to advance our mission of food safety and food security. Quorn is a leading player in the fast-growing global meat alternatives segment with a loyal customer following and a defining set of healthy sustainable products,” Soesanto said.

He added, “Our Asia-Pacific Branded Food and Beverage business is widely recognized for its leadership positions across each of its core segments. We intend to stay ahead of consumer demands through innovation and investment in technology to provide healthier and more delicious food.”

Monde Nissin’s shares are expected to begin trading on the Main Board of the PSE on June 1, 2021 under the stock symbol “MONDE.”

“The scale and timing of our IPO has only been made possible through the hard work and guidance of the dedicated teams at the Philippine Securities and Exchange Commission and the PSE, to whom I extend my sincere gratitude and thanks,” Soesanto said.

The company intends to use the net proceeds of the IPO to fund its capital expenditures at P26.52 billion, redemption of a convertible note at P17.31 billion, and repayment of loans at P16.78 billion.

UBS AG Singapore Branch, Citigroup Global Markets Limited and J.P. Morgan Securities plc served as Joint Global Coordinators and Joint Bookrunners for the offering.

BDO Capital & Investment Corporation, BPI Capital Corporation and First Metro Investment Corporation were the Local Lead Underwriters and Joint Bookrunners.

Credit Suisse (Singapore) Limited served as the Joint International Bookrunner. Macquarie Capital Securities (Singapore) Pte. Limited and Jefferies Singapore Limited served as the International Co-Bookrunners.

China Bank Capital Corporation, PNB Capital and Investment Corporation and SB Capital Investment Corp. were the Domestic Co-Lead Underwriters.

Monde Nissin is behind popular household brands such as Lucky Me!, SkyFlakes, Fita, Nissin, M.Y. San Grahams, Mama Sita's, and Dutch Mill. — BM, GMA News