PSE sets P175-B capital-raising goal for ’26
Despite the “crisis of confidence” arising from the flood control scandal, the Philippine Stock Exchange is targeting capital-raising activities this 2026 to reach as high as P175 billion, including the much-awaited initial public offering (IPO) of fintech unicorn GCash.
“We raised about P140 billion last year. I said, give it a 20 percent to 25 percent increase, so about P170 billion to P175 billion,” PSE president Ramon Monzon said in a press chat on Friday night. “That’s my target. I’m an eternal optimist.”
The amount includes not just proceeds from IPOs, but also new capital to be raised from follow-on offerings, private placements and issuance of preferred shares.
Monzon sees at least four new companies going public this new year, double the number in 2025.
This year’s lineup may include GCash and the listing by introduction of PNB Holdings Corp., the spinoff real estate arm of tycoon Lucio Tan-led Philippine National Bank, he said.
GCash is seen to await forthcoming changes to the rules on public float. With GCash now valued at $5 billion following fresh investment made by Japan’s Mitsubishi UFJ Financial Group in 2024, a high public float requirement is feared to overwhelm the domestic market, especially at this challenging time.
In 2025, the local stock market suffered P51.78 billion worth of net foreign selling.
Based on a draft circular from the Securities and Exchange Commission (SEC), companies with an expected market capitalization of more than P150 billion would have to offer only 12 percent of their shares to the investing public, instead of the current minimum level of 20 percent.
Meanwhile, Monzon estimated that PNB Holdings’ listing by introduction, or one without an immediate IPO, would give the company a market valuation of about P56 billion.
Only two companies debuted on the local stock exchange last year: Cebu-based fuel company Top Line Business Development Corp. and water utility Maynilad Water Services Inc.
Maynilad’s P34-billion stock debut was the second largest in local bourse history next to Monde Nissin Corp.’s record IPO worth P55.89 billion in 2021.
However, 2025 also saw other capital raising activities, including eight follow-on offerings and 14 private placements.
As such, the exact amount of capital-raising recorded was P144.14 billion, up by 75 percent from the 2024 level.
Monzon is also optimistic that the recent amendments to the rules on real estate investment trusts (REITs) would encourage the listing of more of these REITs, particularly the operators of telco tower assets.
The new SEC ruling clarified that income-generating real estate includes those properties with steady cash flow, such as rentals, toll fees, user fees, ticket sales, parking fees and storage fees. REIT sponsors may also use other assets, including those in the transportation, telecommunications and power sectors.
Meanwhile, to uplift the stock market, Monzon said, “the corruption issue has to be resolved” and people involved should be jailed.
“Deliver a strong message about improved governance and improved transparency. For the capital market, it’s really a confidence issue,” he said.
