Converge mulls P36 billion public offer

MANILA, Philippines  — Converge ICT Solutions, a fast growing fiber internet company, is considering to list in the stock market this year, depending on market conditions.

If the initial public offering (IPO) pushes through, it could be the second listing this year.

The company has not formally filed its listing plan with the Securities and Exchange Commission (SEC) but it is looking to raise $700 million or P36 billion from the public offering, according to Bloomberg.

Converge ICT is a fast growing provider of telecommunication and cable television services in the Philippines.

The company is backed by US-based Warburg Pincus, one of the world’s biggest private equity firms which last year invested P12.8 billion in the Philippines for a sizable minority stake.

Converge aims to capture at least 30 percent of the country’s broadband market in the coming years.

So far, the stock market has seen just one IPO, that of grocery operator MerryMart Consumer Corp. which sizzled during its debut last June 15.

MerryMart raised P1.6 billion from the sale of 1.6 billion primary common shares at P1 each.

Capital raised from January to June reached P20.83 billion but the operator of the local bourse hopes to see more listings this year after MerryMart’s IPO and the listing by way of introduction by Altus Property Ventures Inc.