Feb. 8 (Bloomberg) -- Globe Asiatique Realty Holdings Corp. may postpone the biggest Philippine initial share sale in 21 months because of a delay in completing the developer’s financial statements.
Globe Asiatique, a builder of homes and residential towers, said in a regulatory filing in December it plans to raise as much as 3.39 billion pesos ($73 million) by selling as many as 339.2 million shares for 6.50 pesos to 10 pesos a share in the first quarter of 2010. That would be the Philippine Stock Exchange’s biggest initial public offering since May 2008, when San Miguel Brewery Inc. sold 6.16 billion pesos of shares.
“We may not be able to do it because there is a delay in the preparation of the financial statements for December,” Eduardo Francisco, president of Manila-based BDO Capital & Investment Corp., said in a phone interview. “If the statements get delayed by a month, then the next window for the sale could be in a month or two.”
The benchmark Philippine Stock Exchange Index has declined 6.8 percent this year as the government started to unwind stimulus policies that softened the impact of the global recession. The measures -- including a reduction in the central bank’s overnight rates to the lowest since 1990 -- boosted the index by 63 percent in 2009, the biggest gain in 16 years.
“There is rising risk aversion towards equities at the moment, so a share sale might not get a warm reception now,” said Olan Caperina, who helps manage $9.7 billion at Bank of the Philippine Islands. “Property companies are also being sold down and most are trading at low price-to-book multiples.”
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