Maynilad targets 25.5 billion peso in biggest Philippines IPO since 2021
The company is marketing the shares at 14 pesos to 15 pesos each
[MANILA] Philippine utility firm Maynilad Water Services has started taking orders from institutions for an initial public offering that could raise as much as 25.5 billion peso (S$566 million) and make it the country’s biggest listing in four years.
The water- and wastewater-services provider’s IPO includes a primary sale of as many as 1.66 billion shares and a preferential offering of as many as 24.9 million shares, according to a preliminary prospectus dated Oct 3.
Maynilad may also enlarge the IPO to as much as US$593 million via overallotment and upsize options, giving it a valuation of up to US$1.6 billion, according to terms of the deal seen by Bloomberg News.
The company is marketing the shares at 14 pesos to 15 pesos each, the terms show, below the 20 peso maximum price it had initially penciled in. Still, including the overallotment and upsize options, Maynilad’s will be the biggest IPO since Monde Nissin’s listing raised more than US$1 billion in 2021.
The listing could revive investor appetite in the country’s battered stock market, which has become one of Asia’s worst performers this year due to a weakening currency and concerns about a graft scandal.
The IPO market has struggled too, with just one listing so far in 2025 raising US$12.5 million. Maynilad’s offering would lift this year’s proceeds to their highest since a record set in 2021, according to data compiled by Bloomberg.
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The Asian Development Bank has agreed to buy as much as US$145 million worth of shares in the IPO as a cornerstone investor, and the International Finance Corp has committed to buying as much as US$100 million. Other cornerstones include Robeco, Maven Investment Partners and the UK’s Foreign, Commonwealth and Development Office.
Maynilad, which plans to use proceeds from the offering for capital expenditures and general corporate purposes, will start taking orders from institutions from Monday until as early as Oct 17. It will take orders from retail investors from Oct 23 to Oct 29. The firm expects to price shares on Oct 20 and to list on Nov 7.
Maynilad’s services span across 11 cities in Metro Manila, as well as three cities and three municipalities in Cavite Province, the company’s prospectus shows. The company posted net income of 7.5 billion pesos for the first half of the year, up 19 per cent from the same period in 2024.
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UBS Group, Bank of the Philippine Islands, HSBC Holdings and Morgan Stanley are joint global coordinators. Malayan Banking, BDO Capital & Investment, First Metro Investment, Security Bank Capital Investment and East West Banking are also arranging the deal. BLOOMBERG
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