MANILA - The operator of Resorts World Manila slashed by half the price at which it would sell its shares to the public, trimming the size of the equity fundraising to $430 million.
During Friday's domestic roadshow, UBS Philippines managing director Lauro Baja III said the maximum price for Travellers International Hotel Group Inc’s initial public offering (IPO) will be P11.88 per share, down from the original price of P23.38 per share.
UBS is one of the global coordinators, international book runners and lead managers of the IPO.
Proceeds from the primary offering will drop to $430 million, Baja said. Including the over-allotment option, the proceeds could reach $450 million.
The joint venture between Alliance Global Group Inc of Philippine billionaire Andrew Tan and Malaysia's Genting Hong Kong earlier planned to raise $842-million from the IPO before it was shelved in July in light of the volatility in financial markets worldwide.
Travellers will kick off its international roadshow on Monday, bringing the hotel and gaming firm to Malaysia, Hong Kong, Singapore, London, New York and Boston.
The final offer price will be set on October 17 with offer period scheduled from October 22 to 29. Listing of the shares at the Philippine Stock Exchange is slated on November 5.
Travellers will use the proceeds from the offer to partly finance the $600-million expansion of Resorts World Manila, the country's first integrated tourism estate.
CIMB Securities (Singapore) Pte Ltd, Maybank Kim Eng Securities (Singapore) Pte Ltd, Merrill Lynch (Singapore) Pte Ltd, Religare Capital Markets Hong Kong Limited and UBS AG, Hong Kong Branch were tapped as joint global coordinators, international book runners and lead managers.
CLSA Limited, Credit Suisse (Singapore) Limited and Morgan Stanley & Company International PLC will act as joint international co-book runners.
Domestic lead underwriters are BDO Capital & Investment Corporation, Maybank ATR Kim Eng Capital Partners Inc and UBS Investments Philippines Inc.
Travellers operates Resorts World Manila and plans to build a second facility in the Entertainment City of state-owned Philippine Amusement and Gaming Corp (Pagcor).
The expansion of Resorts World Manila will double its current offerings in the next three years. This involves a convention cenetr that can accommodate 5,000 people, an additional 1,100 hotel rooms and gaming facilities.
source: interaksyon.com
