Cebu Pacific receives approval for IPO: Set for 04-May-2010

Cebu Pacific received approval from the Philippine Stock Exchange to launch its PHP22.3 billion (USD489.1 million) IPO (abs-cbnNEWS.com, 25-Mar-2010). A listing has now been tentatively set for 04-May-2010. The IPO will offer 235 million common shares in the carrier, at a maximum price of PHP95 per share. A further 35.3 million shares have been earmarked in case of overallotment. Funds raised from the offer will be used to finance aircraft orders. The LCC plans to spend USD200 million on aircraft payments over the next four years, to expand its fleet from the current 29 aircraft to 47 aircraft by 2014.