MANILA, Philippines - The Philippine Stock Exchange (PSE) said it expects more firms to offer shares to the public in the fourth quarter to comply with the minimum public float requirement of 10 percent.
Most of the remaining 27 non-compliant listed firms, in particular, are seen to raise their public ownership before the yearend deadline, the top PSE executive said.
“At the end of the year, I think you will find more companies in compliance than those not in compliance,” said PSE president and CEO Hans Sicat.
He said August is seasonally a slow month for public offerings but these activities might kick in by September.
The local bourse is standing firm on the end-December deadline for listed corporations to comply with the minimum public float requirement.
“It is easier to comply in a bull market. If we are in Europe, it would be a different issue,” Sicat said.
To date, the PSE index, a basket of 30 stocks regarded as the benchmark of the market’s overall performance, has risen to 5,195.72 from 4,397.08 at the start of the year, making it one of the top performing bourses in Asia.
Sicat said the PSE’s Issuer Regulation Division has been receiving numerous inquiries from non-compliant firms.