AllDay Marts IPO expected in November

According to the filing, it intends to use the net proceeds from the offer primarily for debt repayment and capital expenditures

The Villar Group’s AllDay Marts Inc. seeks to generate around P6 billion ($0.12 billion) from its IPO, which the company intends to use to retire its high-cost debt.

According to its prospectus filed with the Securities and Exchange Commission (SEC), AllDay plans to offer up to 6,857,143,000 common shares with an overallotment option of 685,714,000, at a par value of P0.80 ($0.016) per share.

Up to 1.371 billion shares or 20% will be offered in the Philippines through trading participants in the local bourse, and up to 685.715 million or 10% will be offered to local small investors.

We intend to use the net proceeds from the offer primarily for debt repayment and capital expenditures and initial working capital for store network expansion, the filing read.

The company has allocated P4.103 billion ($0.081 billion) for the repayment of debt which were used to fund past and ongoing store network expansion. This will reduce financing costs by P264.4 million ($5.24 million) per annum.

AllDay has tapped PNB Capital and Investment Corp. as the sole issue manager for the offer, while BDO Capital & Investment Corp. and China Bank Capital Corp., along with PNB Capital, will serve as joint lead underwriters and joint bookrunners.

While the SEC is expected to issue its decision on the offer by October 13, 2021, the Philippine Stock Exchange is expected to issue its decision on the listing application on September 29, 2021.

Shares of the company are expected to be listed and be traded on the main board of the PSE on November 3, 2021, under the ticker symbol ALLDY.

AllDay sales ended the first six months of the year with a 19.7% rise in sales to hit P4.493 billion ($0.089 billion), and 58.8% rise in net profit to P179.6 million ($3.56 million).