The Securities and Exchange Commission (SEC) has considered favorably the initial public offering of Converge Information and Communications Technology Solutions, Inc. for a maximum of about P41.55 billion.
In its meeting on September 24, the Commission En Banc resolved to render effective the registration statement of Converge for up to 7,526,294,461 common shares for listing and trading on the Main Board of the Philippine Stock Exchange, subject to the company’s compliance with certain remaining requirements.
The registration statement covers 480,839,941 shares for primary offering, 1,024,433,569 shares for secondary offering and 225,791,026 shares for overallotment at a maximum price of P24 apiece.
From the primary offer, Converge expects to raise about P11.07 billion. Approximately 90% of the net proceeds will be used to fund capital expenditures for the purpose of accelerating its nationwide fiber network rollout.
Morgan Stanley Asia (Singapore) Pte. and UBS AG Singapore Branch will serve as joint global coordinators and joint bookrunners for the offer, together with Credit Suisse (Singapore) Limited and Merrill Lynch (Singapore) Pte. Ltd. As international joint bookrunners.
Meanwhile, Converge tapped BPI Capital Corporation as sole local coordinator and joint local underwriter and joint bookrunner with BDO Capital & Investment Corporation.
Asia United Bank Corporation, First Metro Investment Corporation, Maybank ATR Kim Eng Capital Partners, Inc., PNB Capital and Investment Corporation and RCBC Capital Corporation will also act as local participating underwriters.