Singapore's Del Monte Pacific delays Philippine unit IPO on COVID-19 surge

Food and beverages firm Del Monte Pacific said on Wednesday (Aug 4) it would delay the initial public offering of its Philippine unit, as the country reels from a surge in coronavirus cases.

Del Monte Philippines in April filed for an offering that could raise up to 44.1 billion Philippine pesos (US$888.8 million), making it the second-largest share offering in the Philippines.

But rising cases of the Delta variant of coronavirus cases and corresponding volatility in the Philippine Stock Exchange have led Del Monte Pacific to defer the listing "until conditions improve".

The Philippines earlier in the week extended a night curfew in capital Manila as the country saw infections exceed 8,000 per day, with the tally on Aug 1 touching 8,735 infections - their highest since May-end.

That has weighed on the Philippine bourse, which has recorded four consecutive negative weekly moves since the first week of July, losing nearly 5 per cent in the ongoing quarter so far.

Singapore-based Del Monte Pacific said it "remains committed to the listing" of its unit, adding that it would continue discussions with potential investors and partners interested in the offering.