OVIALAND, Inc. plans to launch an initial public offering (IPO) at a higher valuation, potentially next year, depending on market conditions,” the real estate developer’s president said.
“Definitely, (our IPO) will (have) a much higher valuation because the company has grown,” Ovialand President and Chief Executive Officer Pammy Olivares-Vital told reporters on the sidelines of the Shareholders’ Association of the Philippines’ third general membership meeting in Makati City last week.
Ms. Vital said that Ovialand is open to having the IPO next year, depending on investor appetite.
“Right now, we’re still a little indefinite with the listing date. Although we are still actively fundraising. (The IPO is) not for this year, but we’re open for next year,” she said.
In June last year, Ovialand announced that its planned P2.2-billion IPO was deferred due to “poor market conditions.”
“Once the larger IPOs happen, those will be a signal for us that the foreign funds are already open, so we’ll be open to entertaining it. Their success would be an indication for smaller companies like us that foreign funds are back and open,” Ms. Vital said.
Ovialand saw double-digit growth in sales, revenue, and net income for the first half, according to Ms. Vital, without citing specific figures.
“We approached the first half with an aggressive stance. We knew that it was going to be an uphill battle. It was rewarding. We are up double-digit in sales, revenue, and net income. We are eyeing 30% growth annually. It is practically doubling the company every two years,” she said.
“The listing is not the goal. The goal is to expand. There are other ways for us to expand. The goal is to keep on growing our production capacity,” she added.
Ms. Vital also said Ovialand is in the final stages of launching its second development in partnership with Japan’s Takara Leben.
In January, Ovialand and Takara Leben collaborated on their first project, the 6.5-hectare Savana South development in Laguna, which features 657 homes aimed at the premium affordable housing market.
Ovialand has developments in Southern Luzon and Bulacan, including Savana, Santevi, and Sannera in Laguna; Caliya in Quezon; Terrazza de Sto. Tomas in Batangas; and Seriya in Bulacan. — Revin Mikhael D. Ochave