MANILA, Philippines - SSI Group Inc., the largest specialty retailer in the Philippines, is set to bring in more international brands in the country within the year ahead of its planned initial public offering (IPO).
SSI president Anthony Huang said the specialty retail arm of the Rustan’s Group still has a few more up its sleeve in the remaining three months of the year to expand its international brand portfolio.
“We’re always on the lookout for new brand opportunities. We still have a few more by the end of the year that will come in,” he said.
Over the past nine months alone, Huang said SSI has added 15 new brands in its portfolio.
SSI currently retails over 100 international brands which include Hermès, Prada, Gucci, Burberry, Salvatore Ferragamo, Lacoste, Michael Kors, Kate Spade, Gap, Old Navy, Zara, Stradivarius, Bershka, Aeropostale, Samsonite, Nine West, Payless Shoe Source, Beauty Bar, Marks and Spencer, Pottery Barn and TWG, among others.
“What some people don’t realize is that we have more than just luxury brands in our portfolio. Majority of our sales are actually catered to the broader market segment and it grows by leaps and bounds and we’re just looking at the luxury brand as part of our portfolio. Even the upper market segment continues to grow with the economy thriving the way it has,” Huang said.
Aside from the expansion of its international brand portfolio, Huang said SSI is looking to proceed with its IPO, which is still subject to the approval of the Securities and Exchange Commission (SEC).
Huang, however, said the IPO may be delayed from its earlier targeted schedule next month.
“I don’t think we can make it by October at this stage, but we hope we can do it within the year. At this point, we’re hopeful that we can do it the soonest possible time. We are going through the process, and we’re unable to give an exact date but we’re hoping sooner rather than later,” he said.
The Tantoco family’s SSI plans raise as much as P12.42 billion from the IPO, proceeds of which will be used to expand the company’s international brand portfolio and retail presence throughout the country.
SSI intends to sell 864.23 million primary and secondary shares, with an over-allotment option of up to 129.63 million shares, at P12.50 apiece.
Huang said now is the perfect time for the company to conduct its IPO given the country’s strong economy.
“Growth opportunity presents itself right now. We feel that now is a good time to invest and naturally going to the public market to help us raise the funds for that is a great way to do it. Timing wise, it’s an opportune time to do so,” he said.
SSI is also into the development, management and operations of department stores in partnership with Ayala Land Inc. (ALI), and convenience stores through the FamilyMart chain, a joint venture with ALI, Japan’s FamilyMart and Itochu Corp.
Huang said SSI is set to open in UP Town Center by the first quarter of next year its second Wellworth Department Store.
“We’re assessing other opportunities, other Ayala developments that will present to us in the near future,” Huang said when asked on other possible locations for its Wellworth Department Stores.