The Securities and Exchange Commission (SEC) has approved the P5.43- billion initial public offering (IPO) plans of computer-related products retailer Upson International Corp.
Upson International which operates under the brand names Octagon Computer Superstore, Micro Valley, and Gadget King, plans to sell to the public 986.83 million shares priced up to P5.50 apiece.
The shares to be sold are divided into a firm tranche of 888.16 million shares, divided into 789.47 million primary shares and 98.68 million secondary shares, while the company’s owners have allocated another 98.68 million secondary shares to cover the over-allotment option.
Of the proceeds, P4.34 billion will accrue to Upson International, which it will use to expand store network.
As of end-March Upson had a total of 188 store branches across the country, as well as six warehouses in Manila, Cebu, Cagayan de Oro, and Davao City.
The company plans to have its IPO between October 3 and 7. Listing is eyed October 14.
The company tapped First Metro Investment Corp. as the issue manager and bookrunner for the transaction, while RCBC Capital Corp. will join as joint lead underwriter.
In a statement, the company said it will prioritize areas with the highest return potential and those where tech products are not readily available.
“The company has a well-established presence in the IT retail industry for almost three decades. Upson currently has 13,000 IT products and endeavors to continuously offer a broad assortment of original and untampered IT products and gadgets which suit the various needs of its customers,” it said.
“We are grateful for the support of the SEC for their confidence in Upson’s vision to help transform the Philippines into a more digitally-ready country. Upson aims to continuously adapt to the rapid growth of digital technology. We shall consistently provide the most relevant and latest IT products through our network expansion across the country. As the first IT retailer company to go public, we aspire to greatly contribute to the country’s technological journey and development. We assure the public that Upson shall be a significant catalyst to these developments guided by the Company’s knowledge and expertise in the business,” said Arlene Sy, Upson president.
