Flying V chairman Ramon Villavicencio said they already had preliminary talks with Bank of Commerce Investment Corp. for the feasibility of listing the oil company’s shares in the stock exchange.
Villavicencio did not disclose the time frame for the IPO be held and how much they intend to list in the local bourse. Flying V is the brand name of TWA Inc., which was formally organized and duly registered with the Securities and Exchange Commission in 1994 with the primary purpose of engaging in the wholesale and retail distribution of petroleum products.
Aside from the company’s expansion plans, Villavicencio said they intend to utilize part of the proceeds for other capital expenses.
Villavicencio said Flying V is planning to put up additional 12 stations and expand its two other oil warehouse located outside the metropolis.
"Due to (economic) conditions we are going slow down this year, but we are expanding depots, one in La Union, the other in Cagayan de Oro in preparation for the expansion of the economy," the company official said. At present, Flying V presently has 110 gasoline stations nationwide.
Villavicencio said the company is allocating P100 million for the construction of a depot in La Union and P189 million for the Cagayan de Oro facility. It has existing depots or oil storage facilities in Manila, General Santos, Iloilo and Davao.
Flying V has 32 stations in strategic areas within Metro Manila. It also has stations in Rizal, Bulacan, Nueva Ecija, Batangas, Pampanga, Laguna, Zambales, La Union, Quezon, Cavite, Pangasinan, Ilocos Norte, Nueva Vizcaya, Baguio, Ilocos Sur, Cebu, Iloilo, Panay Island, Davao City, Surigao del Sur, Sultan Kudarat, and Davao del Norte, among others.
The option to list its shares in the stock market, however, will on the performance of the Philippine economy and the offshoot of the review of the Oil Industry Deregulation Act.
"It depends on the Philippine economy and policies and deregulation," Villavicencio said.
Recently, a five-man team was formed to undertake a thorough review of the Oil Industry Deregulation Act. The passage of the law in 1998 allowed TWA, Inc. to expand its business by launching gasoline stations under the brand name Flying V.
Aside from regular pump products: diesel, unleaded, regular gasoline and the usual services available at existing gas stations, Flying V offers Avgas Power gasoline and retails the world famous Valvoline motor oils.