PSE says a fundraising of P48.36-B is planned for the remainder of 2024

According to the top official of the Philippine Stock Exchange (PSE), the local bourse could expect up to P48.36 billion in fundraising activities for the rest of the year, which could help boost market activity.

“In terms of listing, our fundraising pipeline currently includes five follow-on initial public offerings (FOOs), one equity rights offering (SRO) and one initial public offering (IPO), which will raise up to P48.36 billion. in capital,” PSE President and Chief Executive Officer Ramon S. Monzon said in an emailed statement Thursday.

According to the PSE, three of the five FOOs are expected to go ahead in September, while the IPO, SRO and the remaining two FOOs are tentatively scheduled for the fourth quarter.

“We hope to trade more actively for the rest of the year based on interest rate cut expectations and record first-half profits from banks and other listed companies,” Mr Monzon said.

To date, the PSE has completed three IPOs, reaching the halfway point of its target of six IPOs for the year. The completed IPOs include OceanaGold Philippines, Inc., Citicore Renewable Energy Corp. and NexGen Energy Corp.

For the second quarter, the PSE saw a 28% decline in its attributable net profit to P155.74 million, compared to P215.06 million last year.

Second-quarter revenue rose 3.2% to P369.4 million from P357.8 million in 2023.

For the first half, the PSE saw a 4.8% decline in its attributable net profit to P398.53 million, compared to P418.7 million in 2023.

Revenue fell 2.3% to P722.75 million due to a 10.7% decline in average merchandise value during the semester, which reduced service fee revenue by P6.2 million and transaction fees by P9.07 million.

Listing revenues rose 0.2%, while listing fees rose 0.2% to P290.98 million. Other income rose 20% to P161.98 million due to interest income and foreign exchange gains.

Total expenses increased by 9.4% from P380.5 million to P416.13 million.

During the first half, the PSE saw two IPOs, three FOOs, one SRO and three private placements.

“Persistently high interest rates and geopolitical concerns contributed to tepid trading in the first half,” Mr Monzon said.

“PSE continues to pursue projects that will support the company’s growth over the years. This includes the planned acquisition of Philippine Dealing System Holdings Corp., which we aim to complete in the coming months,” he added.

On Thursday, PSE shares rose 2.27% or P4 to P180 each. — Revin Mikhael D. Ochave