FUEL retailer Top Line Business Development Corp. is optimistic about the prospects of its P3.16-billion initial public offering eyed between November 27 and December 3 as book-building and eventual price gets underway.
The IPO is set to be priced by Monday.
The company is looking to sell to the public 3.68 billion primary shares and another 368.31 million secondary shares to cover the greenshoe option, at an offer price of up to P0.78 per share.
Eugene Erik Lim, Top Line chief executive officer, in a briefing Thursday highlighted the growth prospects offered by Central Visayas where Top Line is operating and expanding its business.
Constance Marie Lim, Top Line chief finance officer, said the company grew at a compounded 49.17 percent in revenues between 2021 and 2023.
The company plans to use the proceeds of the IPO’s primary shares to construct fuel depots, acquire tankers, trucks, construct service stations as well as for working capital.
The fuel depots in Mactan and Bohol, worth P980 million, will have a combined storage capacity of 30 million liters. Construction is eyed for next year in time for its operation by mid-2026.
Top Line is looking to build starting 10 Light Fuels services stations using the proceeds worth P65 million. These are eyed to be operational between 2025 and 2026.
The company is also looking to acquire two units of compartmentalized fuel tankers with a capacity of 5 million liter for each vessel as well as 40 units of tank trucks with rated capacities of at least 20,000 liters. The acquisition of tank trucks will take place between 2024 and 2025.
