BUSINESS

Top Line moves IPO to next year

The decision to reschedule its IPO responds to requests from potential institutional investors for additional time to secure internal approvals

Maria Bernadette Romero

Top Line Business Development Corp. (Top Line) has postponed its initial public offering (IPO), now targeting the first quarter of 2025 instead of its original plan to launch before the year’s end.

The company announced on Monday that the decision to reschedule its IPO responds to requests from potential institutional investors for additional time to secure internal approvals.

Notably, the confirmation also follows a recent press briefing in which the company expressed confidence that the IPO would proceed as originally planned.

Top Line is supposed to be the first company from Metro Cebu in eight years to ring the trading bell.

“While we initially planned to proceed with our original offer period, we have received advice from potential investors to adjust our IPO timetable to accommodate their due diligence process. This strategic move provides them with the necessary time for their thorough internal review and approval process,” said Erik Lim, chairman, president and CEO of Top Line.

Early 2025 slated

Originally set for 27 November to 3 December, with a listing planned for 13 December, Top Line’s IPO is now scheduled for early 2025, with the exact timetable to be announced once regulatory processes are completed.

Despite the delay, the company said it has already received positive early feedback from the market through engagements with qualified institutional buyers.

“We are happy with the reception of our engagement with qualified institutional buyers, reflecting the strong fundamentals and positive prospects for the fuel industry. With the adjusted timetable, we will update our current Prospectus to include the company’s year-to-date financial performance for the third quarter, which will demonstrate our consistent growth trajectory,” Lim added.

Top Line plans to offer up to 3,683,100,000 primary common shares, with an over-allotment option of up to 368,310,000 secondary common shares.

The IPO is expected to raise P2.75 billion in net proceeds, based on an indicative offer price of up to P0.78 per share, subject to a book-building process.

The Philippine Stock Exchange announced the preliminary terms of Top Line’s IPO, including the ticker symbol “TOP” in October.