MANILA, Philippines — Ovialand Inc., the Olivares family-led property developer focusing on the affordable segment of the market, is deferring its planned maiden listing amid volatility in local and global markets.
Pammy Olivares-Vital, president and CEO of Ovialand, said the company has decided to wait for better market conditions before proceeding with its initial public offering (IPO).
“Ovialand has always been about creating value for everyone we serve – whether it be our homebuyers, organization, business partners, and shareholders. We want our IPO to be a testament to this principle,” she said.
She said the decision was made together with SB Capital Investment Corp., the sole underwriter for the IPO.
Virgilio Chua, president and CEO of SB Capital, said the investment bank would continue to determine the proper best option for Ovialand.
“We aim to find the most suitable vehicle for our client to achieve growth, and as of the moment, a public listing is not the best option. We will continue to work and support Ovialand so that all options are available to maximize their long-term growth potential,” he said.
Despite the deferral, Olivares-Vital said the company’s business remains strong and is on track for significant growth in 2023.
“This is because homebuyers see that Ovialand’s products provide the best value, as well as the fastest turnover period for them,” Olivares-Vital said.
She said the company would continue to execute its growth plans to achieve its goals of having a nationwide presence in the near future and being the top brand of choice for homeowners.
Ovialand had planned to raise P2.2 billion from the sale of up to 336 million primary common shares and up to 24 million secondary common shares plus an over-allotment option of up to 36 million secondary common shares.
The offering price per share could reach up to P5.60 or a total of P2.2 billion, according to the company’s registration statement.
Ovialand was planning to use the proceeds of the IPO for land banking initiatives in South Luzon, particularly Laguna, and North of Metro Manila, particularly Bulacan.