The Philippine Stock Exchange has approved the initial public offering (IPO) offering of MerryMart Consumer Corp.
The pricing is up to 1 peso per share and the price will be set by May 22, 2020, and the IPO listing is slated on June 15, 2020.
MerryMart Consumer Corp will proceed with its IPO since MerryMart is in the Covid19 pandemic resilient non-discretionary basic essential retail category.
MerryMart Group currently operates seven branches. MerryMart has several branches that are ready to open as soon few weeks after ECQ is lifted, and will keep its target to open the 100th MerryMart branch on or before December 2021 next year.
MerryMart will be ready to secure more superior prime locations around the country, and attract more good talents to join its team after the ECQ is lifted as there may be a lot of good prime sites to be available nationwide.
“We are confident that the MerryMart IPO will provide both the retail and institutional investors an opportunity to be able to invest and spread their portfolio in a resilient sector and also enable them to invest at an early stage of MerryMart’s planned hyper-growth in the coming years,” MerryMart Chairman Edgar Injap Sia II said.
“Just like Mang Inasal and DoubleDragon, our team and myself will pour in the passion, determination, focus, and hard work towards the goal of MerryMart another company that will grow rapidly and eventually become strong, durable and relevant for many generations,” Mr. Sia II added.
Once MerryMart is listed, it is expected to be the second listed retail company that has pure non-discretionary retail in its portfolio.
MerryMart Consumer Corp does not have any exposure in the discretionary retail businesses such as the modern department stores, which are closed and do not generate revenues during the ECQ.
MerryMart intends to focus only on the non-discretionary essential segment, because the discretionary side of retail is expected to be soft moving forward, and higher value and non-essential discretionary retail are also shifting to the foreign-owned e-commerce channels.
The underwriter of the MerryMart Consumer Corp IPO is PNB Capital.
The IPO offering bookbuild is currently ongoing until May 22, 2020.
