The Philippine Stock Exchange said Wednesday it approved the P3.5-billion initial public offering of Bank of Commerce, an affiliate of conglomerate San Miguel Corp.
BoC plans to offer up to 280.6 million common shares at P12.50 apiece. The bank plans to use the net proceeds from the IPO to fund lending activities and finance capital expenditure requirements, in connection with the upgrading of its automated teller machine fleet and core banking system.
Other proceeds will be used for the acquisition of investment securities to meet regulatory liquidity requirements.
The public offering will run from March 16 to 22, with listing on the main board of the local bourse scheduled on March 31.
Post-IPO, BoC will have a market capitalization of P17.53 billion and a public float of 22.9 percent.
BoC provides banking products and services in deposit, commercial loans, credit card services, consumer banking, corporate banking, treasury, asset management, transaction banking and trusts and investments.
It had a network of 140 branches and 257 ATMs as of Sept. 30, 2021.
The bank engaged BDO Capital & Investment Corp., China Bank Capital Corp., Philippine Commercial Capital Inc. and PNB Capital Investment Corp. as the joint issue managers, joint lead underwriters and joint bookrunners for the transaction.
The Bangko Sentral ng Pilipinas in December 2021 upgraded the banking license of Bank of Commerce from commercial to universal bank.
Total assets of the bank grew 14 percent to P195 billion as of end-September from P171 billion as of end-2020.