GCash Eyes IPO in 2025, Seeks Lower Public Float Requirement
MANILA, Philippines — The Securities and Exchange Commission (SEC) is closely monitoring the potential initial public offering (IPO) of GCash, one of the country’s leading mobile wallet platforms. The fintech giant has signaled its intent to seek regulatory approval for an exemption from the 20-percent public float requirement mandated for IPOs.
SEC Commissioner McJill Bryant Fernandez expressed optimism about the planned listing, emphasizing the commission’s commitment to facilitating a successful offering. “From our end, we’re looking forward to this listing of GCash. At the end of the day, we want a successful offer,” Fernandez stated.
However, Fernandez clarified that the SEC has yet to receive a formal request from GCash regarding its proposal to lower the public float requirement. “Actually, we have not even conversed, formally or informally, about this. I am aware, based on reports, that they reached out to the Philippine Stock Exchange (PSE). But on the SEC side, formally, we haven’t received any request from GCash,” he said.
Globe Telecom Inc. President and CEO Ernest Cu previously indicated in a Bloomberg report that a potential GCash IPO could take place by the end of 2025. However, the timeline is partly contingent on the SEC and PSE agreeing to a reduction in the minimum public float to 10 to 15 percent from the current 20 percent.
“We were very open about requesting our exemptions from the 20-percent float requirement,” Cu was quoted as saying in the report.
Fernandez explained that any adjustment to the requirement would necessitate an exemptive relief application. “At the end of the day, we have to look at market conditions. We’ll have to check what exactly they are going to propose. We haven’t received any. I am aware that the issue has cropped up, but we have yet to receive a formal request. The size of the offer will definitely be a factor,” he added.
The GCash IPO is one of the most highly anticipated listings, with reports suggesting that the company is aiming for a valuation of at least $8 billion. Globe Telecom has stated that no final decisions have been made regarding the share sales of Mynt, the parent company of GCash. The fintech firm is currently exploring all available options, with any final actions dependent on prevailing market conditions.