ECC President and Chief Executive Officer John Paul L. Ang said they would be the first to comply when the Securities and Exchange Commission (SEC) comes out with rules requiring listing applicants to sell at least 15% of their issued and outstanding common shares. Under the current rule, listing applicants are only required to sell a minimum of 10% of their shares.
“We will comply kung kailangan i-akyat later on, kung batas yan… Yun ang problema, di ko kailangan cash masyado (We will comply if we need to raise it later, if it’s a rule. But it’s a problem since we don’t need that much cash),” Mr. Ang told reporters on April 26.
The cement manufacturer recently gained approval from the SEC for its IPO.
ECC is set to debut on the stock exchange by mid May, where it seeks to raise a maximum of P9.2 billion from the initial public offer (IPO) of 575 million common shares priced at P16 apiece, according to its prospectus. This comprises only 11.5% of the company’s total outstanding 5,000,000,005 common shares.
Earlier, SEC Chairperson Teresita J. Herbosa announced plans to require companies with proposed IPOs to allocate 15% of their issued and outstanding common shares for the investing public. Firms already listed will have to gradually raise minimum public float to 30% from 10%.