Ovialand, the affordable housing builder owned by the Olivares family, has decided to defer its planned initial public offering (IPO) due to ongoing concerns about the volatility of the stock market.
The decision was made in consultation with SB Capital Corp., the lead underwriter for Ovialand’s IPO, which aimed to raise approximately P2.2 billion.
Pammy Olivares-Vital, the president and CEO of Ovialand, said they will launch the IPO once market conditions stabilize, emphasizing their commitment to creating value for all stakeholders.
“Ovialand has always been about creating value for everyone we serve — whether it be our homebuyers, organization, business partners, and shareholders. We want our IPO to be a testament to this principle,” she said.
For his part, SB Capital president and CEO Virgilio Chua said they would continue to find the best option for Ovialand’s business growth, acknowledging that a public listing may not be the most suitable choice at the moment.
“We will continue to work and support Ovialand so that all options are available to maximize their long-term growth potential,” he said.
Initially, Ovialand planned to sell up to 396 million shares in June at a maximum price of P5.60 per share. The proceeds from the IPO were intended to fund land acquisition over the next two years and support project development.
As part of its growth strategy, Ovialand aims to expand its land bank nearly five-fold to 217 hectares within the next five years.