The Philippine Stock Exchange (PSE) expects a significant rebound in capital-raising activity in 2025, with an estimated target of P120 billion, representing a 51-percent increase from the P79 billion expected to be raised this year.
PSE president and chief executive Ramon Monzon expressed optimism about the market’s recovery, especially following a slower year in 2024.
Monzon said that while 2024 saw a lukewarm IPO market, 2025 is expected to see a surge in capital-raising activities.
“Next year, I think we can do about P120 billion. This year, we only have three initial public offerings [IPOs], and these are small ones. But we also had big preferred and follow-on offerings,” Monzon said.
The P120-billion target for 2025 will include a mix of IPOs, follow-on offerings, stock rights offerings and private placements, he said.
Monzon noted that despite the slow IPO market this year, the exchange saw large offerings in the preferred shares and follow-on categories, which contributed to the overall capital-raising activity.
This year, three companies went public—OceanaGold Philippines Inc., renewable energy firm Citicore Renewable Energy Corp. and NexGen Energy Corp.
The PSE also saw some delays, with Top Line Business Development Corp., a Cebu-based fuel retailer, postponing its planned P3.2-billion IPO due to volatile market conditions. The company now aims to launch its IPO in the first quarter of 2025.
Among the big companies expected to go public next year are Philippine e-wallet GCash, which is looking to potentially raise $1 billion to $1.5 billion, Maynilad Water Services Inc. and integrated resort Okada Manila.
Other highly anticipated companies that deferred their public listing plans include the real estate investment trust of SM Prime Holdings Inc. and Razon-led Prime Infrastructure Capital Inc.
With capital raising expected to pick up next year, Monzon remains confident that the PSE will continue to play a pivotal role in supporting economic growth by providing companies with access to essential funding and offering investors more opportunities in the market.
