Philippines' Travellers to cut IPO size to about $450 mln-sources
SINGAPORE/MANILA, Sept 26
SINGAPORE/MANILA, Sept 26 (Reuters) - The Philippines' Travellers International Hotel Group plans to cut the size of its initial public offering by about half to $450 million as it prepares to launch the deal in Manila, sources with knowledge of the matter said on Thursday.
Travellers is a joint venture between casino operator Genting Hong Kong Ltd and Philippine conglomerate, Alliance Global Group Inc, whose chairman and CEO, Andrew Tan, is ranked by Forbes as the country's third-richest man.
In June, the company delayed its original $842 million IPO because of weak markets, IFR, a Thomson Reuters publication, reported.
The size has been reduced due to the drop in share prices across Southeast Asia which has affected valuations, the sources told Reuters, adding the deal could be priced in the middle of October.
Officials at Travellers were not available to comment.
The planned relaunch of the deal shows that companies in Southeast Asia are taking advantage of the window of opportunity provided by the U.S. Federal Reserve's surprise decision to delay a highly anticipated reduction in monetary stimulus, which has helped stocks to rebound.
The IPO would offer 10 percent primary shares of the company, one of the sources said, adding it would value the entire listed company at between $3.5 billion to $3.8 billion.
In June, the company had delayed its $842 million IPO to September or October after declines by local and global stock markets, IFR had reported.
Travellers hired Bank of America Merrill Lynch, CIMB , Maybank, Religare Capital Markets and UBS to handle the offering.
(Reporting by Saeed Azhar and S Anuradha of IFR and Rosemarie Francisco; Additional reporting by Anshuman Daga; Editing by Matt Driskill)