PSE gives go-ahead for PBB's P4.25-B IPO

The Philippine Stock Exchange has approved Philippine Business Bank's forthcoming initial public offering (IPO), worth as much as P4.25 billion. The Alfredo Yao-owned PBB will be selling up to 101.33 million primary shares, representing 30 percent of its outstanding capital, at P41.94 per share at the most. The price will be set on February 4, with the offer period running from Feb. 6 to 12. The listing of the shares will be on Feb. 19. First Metro Investment Corp and SB Capital Investment Corp. will be the lead underwriters for the IPO. A large portion of the net proceeds will be used to finance the bank's lending; its acquisition of investment securities; and its network expansion. PBB currently has 72 branches, more than half of which are in the National Capital Region. It plans to expand its number of branches to 100 by the end of the year. PBB's net earnings for H1 2012 amounted to P496.64 million, a 143-percent year-on-year improvement. — BM, GMA News