Market seen capable of absorbing Mynt, VITRO offerings

By Alexandria Grace C. Magno, Reporter

THE Philippine stock market appears capable of absorbing the planned offerings of Mynt, Inc. and VITRO, Inc., analysts said, while Philippine Stock Exchange (PSE) President and Chief Executive Officer Ramon S. Monzon said appropriately timing the transactions could help ease temporary funding pressures.

The two transactions could collectively raise as much as P116.5 billion based on their maximum indicative offer sizes. Mynt is seeking up to P92.3 billion through what could become the country’s largest initial public offering (IPO), while VITRO, the data center arm of PLDT Inc.’s ePLDT, Inc., is targeting up to P24.2 billion through what could become the country’s first digital infrastructure real estate investment trust (REIT).

VITRO’s proposed REIT will be backed by eight data center assets with a combined capacity of 27 megawatts (MW). The offering consists entirely of secondary shares to be sold by ePLDT, with proceeds earmarked to reduce debt in line with REIT regulations and the company’s approved reinvestment plan.

China Bank Capital Corp. Managing Director Juan Paolo E. Colet said domestic and foreign liquidity should be sufficient to support Mynt’s IPO, provided it is priced reasonably.

“A combination of foreign and domestic liquidity can absorb the offer size. As long as the valuation is reasonable and the fintech story remains bright, then this mega-IPO is well-positioned for a strong market debut,” he said in a Viber message last week.

The planned listing of Mynt, the operator of GCash, could surpass Monde Nissin Corp.’s P48.6-billion offering in 2021 as the country’s largest IPO.

Mynt’s proposed offering consists of up to 8.03 billion common shares, with an overallotment option of up to 1.20 billion additional secondary common shares.

The firm offer will comprise up to 1.61 billion newly issued common shares under the primary offer and up to 6.42 billion existing common shares to be sold by current shareholders through a secondary offer.

For purposes of its Securities and Exchange Commission (SEC) registration, Mynt used an indicative offer price of up to P10 per share, under which the proposed offering could raise gross proceeds of as much as P92.3 billion if the overallotment option is fully exercised.

Unicapital Securities, Inc. Equity Research Analyst Peter Louise D. Garnace said Mynt’s implied equity valuation stands at about P670 billion based on the maximum indicative offer price, above the previously reported $8-billion target valuation.

He said investors are expected to closely scrutinize the use of proceeds, given the company’s profitability and growth prospects.

“The key variable investors should watch is the final offer price, as the indicated maximum price implies a valuation materially above the previously reported estimate,” Mr. Garnace said in a Viber message.

Toby Allan C. Arce, head of sales trading at Globalinks Securities and Stocks, Inc., said the PSE appears capable of accommodating the offering, although institutional participation will be critical given its size.

While retail demand is expected to be robust, domestic institutional investors, foreign funds, pension managers, and long-only investors will need to commit significant capital to support price discovery and post-listing liquidity.

“The timing is also favorable from a structural perspective, as the market has recently experienced several delistings and relatively few marquee IPOs,” Mr. Arce said in a Viber message.

“GCash therefore has the potential to redirect investor attention toward growth sectors and reinforce the relevance of the local equity market as a capital-raising venue,” he added.

Philstocks Financial, Inc. Research Manager Japhet Louis O. Tantiangco said the local market is better positioned to absorb a large IPO this year, citing higher trading activity.

“Based on trading activities, the local market is seen to be in a better position this year compared to last year,” he said, noting that year-to-date net value turnover has averaged P6.45 billion per day, up from P5.70 billion in the first half of 2025.

Mr. Tantiangco said the lack of IPOs so far this year, coupled with recent delistings, could generate investor interest.

“Still, there are downside risks that could weaken the market’s absorptive capacity. This is if our macroeconomic environment worsens, which in turn would stir negative sentiment amongst investors,” he said.

Meanwhile, Mr. Monzon said the market would benefit from both offerings, adding that appropriately timing the transactions could allow investors to recycle capital from one listing to the next.

“I can share my personal thoughts. Of course, it would be better if we had two large listings like these. It would be really good for the market if they were spaced appropriately,” he said during a media briefing on Saturday.

Mr. Monzon said he was not suggesting either company change its timetable, noting that the schedules could still change.

Based on their draft preliminary prospectuses, VITRO’s offer period is scheduled for Sept. 25 to Oct. 1, while Mynt’s is set for Oct. 5 to 9.

BDO Securities Corp. President John Tristan D. Reyes said a GCash listing would add a technology-focused company to a market where digital economy firms remain underrepresented.

He said overseas investors have cited the lack of new-economy listings as one reason the Philippine market has struggled to attract foreign capital relative to its regional peers.

“The local market is due for something fresh, especially companies from today’s digital economy like GCash. That’s why a GCash IPO would likely be very well received,” Mr. Reyes said in a Viber message.

Mynt, a partnership among Globe Telecom, Inc., Ayala Corp., and Singapore-based Ant International, operates GCash through its wholly owned subsidiary, G-Xchange, Inc., and offers lending services through Fuse Financing, Inc.

Hastings Holdings, Inc., a unit of the PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., holds a majority stake in BusinessWorld through the Philippine Star Group, which it controls.