Axelum Resources Corporation has recently lowered its maximum offer price to P5.72 per share for its initial public offering (IPO) so that it could attract more investors. In the disclosure made, the company consulted first with First Metro Investment Corporation, its issue manager, bookrunner, and joint lead underwriter for its IPO before it reduced the offer price per share. The target was P6.81 per share initially and now, the price was 16% lower than before. The announcement will be made on September 20. If you are planning to buy shares from this company, it is such good news to hear that it would be cheaper than what was initially planned.
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The company said that by reducing the maximum offer price, it will be able to optimize the interest of investors and their appetite in the local stock market. The firm tends to include more investors while they are still maintaining their funding for their strategic plans. With the current offer price, Axelum will be able to raise up to P6.463 billion in fresh capital by selling 1.13 billion common shares. These common shares include 400 million treasury shares, 430 million existing common shares held by CP Compass Singapore Pte. Ltd. and 300 million new common shares. After listing, the company will have a public float of 28.25%
The offer period of Axelum will run from September 24 to 30 and will be listed on October 7 at the main board of the Philippine Stock Exchange under the ticker “AXLM.” The proceeds that the company will get from this will be utilized to expand its domestic and international distribution networks, improving its manufacturing facilities, and installation of new manufacturing facilities for new products. A portion of the proceeds will also be used for acquisitions. They already have deals from companies in Vietnam and the Philippines.
Axelum Resources Corp. is a fully-integrated manufacturer of high-quality coconut products for domestic and international food & beverage companies, confectioneries, bakeries, private label supermarkets, and grocery store chains, food service industries, coconut coffee creamer manufacturers, cosmetics and diet prepared food market. The Company uses all the parts of the coconut in its production resulting to a full-line of coconut products including coconut water, desiccated coconuts, coconut milk powder, coconut milk/cream, reduced-fat coconut, sweetened coconut, coconut oil, and other coconut products.