As Maynilad Water Services Inc. inches closer to its highly anticipated initial public offering (IPO), all eyes are on the timing, which will be closely influenced by the upcoming national elections.

In an interview with reporters, Maynilad president and CEO Ramoncito S. Fernandez said the company is still well on its way to launch its capital market debut within the first half of next year but the exact date hinges on the political landscape.

“We are poised to list next year. Our target is to be prepared for two possible dates before the elections — April. Or after the elections — July. We plan to be push-button ready so we are now pushing our team to apply already by the first quarter of next year,” Fernandez said.

While the company has not yet disclosed a valuation for the IPO, Fernandez noted that Maynilad has appointed three major financial advisors — HSBC, Morgan Stanley and UBS — to assist with the listing process.

Major listing

In terms of investor participation, Fernandez confirmed that the IPO will include both local and overseas investors.

“This will be a major listing, and it will not be funded only by local investors. We really need a portion,” he said.

Under the company’s franchise, up to 20 percent of Maynilad’s shares must be sold to the public, although Fernandez indicated that the company is open to a larger offering if market conditions allow.

However, he also noted that there would be careful consideration of the impact on current shareholders, particularly Marubeni Corp., which holds a significant stake in Maynilad.

“Marubeni wants to stay. In fact, they are very sensitive to being diluted. They don’t want to dilute their board membership. That is what they are most critical about,” Fernandez explained.

Maynilad, the largest private water concessionaire in the country by customer base, is required by its concession agreement with the government to conduct an IPO on or before January 2027.

Maynilad serves the West Zone of the Greater Manila Area. It includes portions of Manila, Quezon City, and Makati (west of the South Super Highway), as well as the cities of Caloocan, Pasay, Parañaque, Las Piñas, Muntinlupa, Valenzuela, Navotas and Malabon in Metro Manila.

The service area also covers the cities of Bacoor and Imus and the towns of Kawit, Noveleta and Rosario in Cavite Province.