MANILA, Philippines - Filipino software development firm Ripple E-Business Intl Inc. is tapping the equities market to raise P17.7 million through on initial public offering (IPO).
Based on documents filed with the Securities and Exchange Commission, Ripple E-Business said it will offer 4.58 million new common shares at P4.37 each. The offer shares represent 29.41 percent of the company’s outstanding common shares after the IPO.
Asian Alliance Investment Corp. has been tapped as lead underwriter for the offering.
Formed in January 2002, Ripple E-Business has developed, marketed and successfully deployed a retail sales and inventory software solution or a merchandise management system, Barter MMS, to a growing number of retail and distribution company businesses in the Philippines.
Barter MMS is capable of consolidating information that allows the business to monitor store-level activity over its distributed operations.
Ripple E-Business also provides project management, training, implementation services and follow-on support agreements. It resells point-of-sale systems and related peripherals.
The company said proceeds from the offering will be invested for the further enhancement of Barter MMS as well as the development of related software products that will expand the company’s market coverage into other segments of the retail and distribution industry.
The company is allotting P10 million out of the total proceeds for research and development cost of the next generation of Barter MMS and the development of product extensions including Barter solutions for the pharmaceutical industry and for warehouse and distribution operations.
Last year, Ripple E-Business posted a net profit of P1.64 million, up 53.3 percent from the previous year’s P1.07 million. Revenues rose 29.3 percent to P30.74 million.