Shakey's files for P5.5 billion IPO

MANILA, Philippines -- Shakey’s Pizza Asia Ventures Inc (SPAVI), a leading full-service restaurant in the country owned by the Po family, seeks to raise up to P5.5 billion from a local stock market debut this year.

 

The company has filed a prospectus with the Securities and Exchange Commission to sell up to 352 million primary and secondary shares, including an over allotment of 46 million shares to cater to extra demand.

 

SPAVI has set a maximum price of P15.58 each, for the possible listing in December 2016.

 

The offer price is expected to be finalized in November.

 

“We intend to use the offer proceeds for the expansion of our in-house commissary, working capital requirements, potential acquisitions, and repayment of debt,” SPAVI said late Monday.

 

SPAVI is majority-owned by the Po Family’s Century Pacific Group Inc (CPGI), parent company of Philippine-listed Century Pacific Food Inc (CNPF).

 

Earlier this year, CPGI and GIC, Singapore’s sovereign wealth fund, partnered to acquire majority of the pizza business from the Prieto family, which continues to hold a minority stake in SPAVI. 

 

SPAVI appointed Deutsche Bank AG as sole global coordinator and bookrunner for the deal, with BDO Capital and Investment Corporation and First Metro Investment Corporation as joint lead managers and underwriters.

 

Evercore is acting as exclusive financial adviser to SPAVI.

 

SPAVI’s in-house commissary supplies the bulk of its proprietary pizza dough and crust used to create Shakey’s trademark Thin Crust pizza.

 

Shakey’s, recognized globally as the original pizza franchise in the US, was first established there in 1954 and is best known as “the pizza that started it all.”

 

It first opened in the Philippines in 1975 and is famous for its Thin Crust pizzas and its chicken and mojos.

 

Locally, where SPAVI owns the rights to the Shakey’s trademark, the company holds the number one position in the traditional full service pizza chain and family-style casual dining categories.

 

It had 177 stores across the country as of June 2016, with plans to expand in the greater Manila and provincial areas. Seven more stores are expected to open before the end of 2016, with 20 more stores in the pipeline for 2017.