UBS Investment Bank's Offices at 299 Park Avenue in New York City (Photo credit: Wikipedia)GT Capital Holdings Inc., the listed flagship firm of taipan George S.K. Ty, announced yesterday that UBS, the global coordinator for its recently completed initial public offering exercised in full its option to purchase an additional 6.182 million shares to meet the strong demand from global investors.
This would generate an additional P2.8 billion, raising total proceeds to $505 million or P24.4 billion.
The stock has performed strongly since listing on April 20, rising 13 percent to P513/share as of April 25.
“We are pleased with the overwhelming response to GT Capital’s IPO in the aftermarket performance such that we are able to exercise the over allotment option within three days after the listing,” said company president Carmelo Bautista.
The foreign tranche of the IPO was more than five times oversubscribed, attracting prestigious long-term institutional investors and sovereign wealth funds.
GT Capital is the primary vehicle for the management of the various interests of the Ty family in banking (Metropolitan Bank & Trust Co.), real estate (Federal Land), power generation (Global Business Power), automotive (Toyota Motor Philippines) and insurance (Phil AXA Life Insurance Corp.). Proceeds from the offering will be used to fund the expansion of various units such as the hotel and residential projects of its real estate arm Federal Land and power businesses under Global Business Power.
The IPO is the first on the Philippine Stock Exchange this year and the biggest in more than a year since Cebu Air raised $611 million in October 2010.
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