Mirant IPO seen to push through this year

Mirant Philippines Inc., the largest private power producer in the country, is optimistic it could rush through with its planned initial public offering (IPO) between mid-2003 and early 2004.

"As far as the IPO is concerned, it is still part of the plan," Mirant vice president for external affairs Allan Paul Flake said.

Flake said they are now in the process of readying their corporation and their stockholders for an IPO.

"We are preparing internally. Once we offer our shares in the stock market, corporate governance will definitely change," he said.

But Flake admitted that Mirant has not yet commissioned a financial advisor to handle the planned public offering. Earlier, ING Barings and ABN Amro had expressed keen interest in handling Mirant’s IPO.

While continuing its preparation, Mirant, he said, is not yet firm on when the IPO will actually happen.

"We have not yet set an actual date," the Mirant official said.

Despite this, he said Mirant continues to be committed to the Philippines. "Our strategy is to continue our long-term operations here. We are happy with our Philippine operations," he said.

Mirant plans to list at least 10 to 15 percent of its shares in the local stock market after posting a hefty income of P8.6 billion in 2001.

The plan to offer its shares to the public was initially scheduled in 2002 but was deferred due to weak market performance during that time.

Proceeds from the shares offering were supposed to finance the firm’s budgetary requirements. – Donnabelle Gatdula