Del Monte appeals trading suspension
Del Monte Pacific Ltd. (DMPL) has appealed to the stock exchange to lift its trading suspension. The canned fruit maker said its financial statements and operations “remain reliable” despite a rare disclaimer from its auditor.
In a regulatory filing on Friday, the Campos-led company said that while an audit disclaimer would “constitute automatic ground” for the Philippine Stock Exchange (PSE) to suspend trading of its shares, Ernst & Young was specifically referring to the bankruptcy of DMPL’s US business, and not the group’s overall financial performance.
“The consolidated financial statements of the continuing operations are unaffected and remain stable,” DMPL said.
DMPL’s trading has been suspended since Sept. 16 after it failed to submit its annual report on time.
However, the company announced that its suspension was now due to the audit report on its 2025 annual financial statement.
On Thursday, Ernst & Young released a disclaimer of opinion regarding DMPL’s financial statement covering the May 2024 to April 2025 period. This means that there were discrepancies that the auditor could not ascertain.
DMPL said it had incurred $703.4 million in impairment losses due to the deconsolidation of its US subsidiary. This is Del Monte Foods Holdings Ltd., which is now putting up assets for sale.
However, Ernst & Young said it was not able to get enough evidence to review the “appropriateness” of DMPL’s share in Del Monte Foods’ losses.
Still, DMPL argued that it had already fully impaired its investment and other assets in and relating to Del Monte Foods.
It also pointed out that the Singapore Exchange, where DMPL’s primary listing is, “has a different policy on the matter.”
“The company has respectfully filed a waiver request with the PSE to list the suspension to consider [the] circumstances,” DMPL said.
The firm is currently in talks with creditors for a grace period for debts falling due in fiscal year 2026. It also plans to raise fresh equity as it grapples with a $600-million capital deficiency.
Despite this, DMPL earlier said it was on track to remain profitable until next year, banking on the continued strength of its Philippine business under Del Monte Philippines Inc.
