Planned IPO of Rustan’s unit to be rescheduled
Planned IPO of Rustan’s unit to be rescheduled
SSI Group Incorporated, which handles Rustan's Group's retail operations, is still hoping its maiden offer – originally set October 23-29 – will push through within the year

MANILA, Philippines – SSI Group Incorporated, which handles the Rustan’s Group’s retail operations, said the timetable for the company’s P12.42 billion ($279.36 million)* initial public offering (IPO) may be moved, depending on how soon it will obtain regulatory approvals.

The company is still hoping though to push through with its maiden offer within the year, SSI Group president Anton Huang said on the sidelines of the FamilyMart franchising launch.

Several equity and bond offering activities of various companies were held off recently because of the delay in securing approvals from the Securities and Exchange Commission (SEC).

Based on SSI Group’s initial filing with the SEC, offer period will be from October 23 to 29. Listing date was tentatively set for November 5.

SSI Group plans to sell as much as 864.22 million primary and secondary shares and another 129.63 million shares to cover alloment option at P12.50 ($0.28) per share.

BPI Capital Corporation, Credit Suisse (Singapore) Limited, and The Hongkong and Shanghai Banking Corporation Limited Singapore Branch are the Joint Global Coordinators and Bookrunners of the planned IPO.

SSI Group said it will use majority of the proceeds to fund the expansion of its FamilyMart and Wellworth department store operations (a joint venture with Ayala Land Incorporated) and to repay existing debts.

The company also plans to bring in more international brands into the country.

SSI was established in 1987 to handle the Rustan’s Group’s specialty retail operations. Starting with Lacoste, then Salvatore Ferragamo, and Marks and Spencer, SSI quickened its growth in 1995 and added international brands such as Ralph Lauren, DKNY, Kenneth Cole, Burberry, Tod’s, Bottega Veneta, YSL, Hugo Boss, Banana Republic, Massimo Dutti, Tory Burch, and Old Navy.

SSI, which includes Stores Specialists Incorporated, retails 103 international brands including Aeropostale, Beauty Bar, Bershka, Gap, Gucci, Hermès, Kate Spade, Michael Kors, Nine West, Payless Shoe Source, Pottery Barn, Prada, Samsonite, Stradivarius, TWG, Zara, among others.

Huang said there are no immediate plans to put in other businesses of the Rustan’s Group or of the Tantoco family under SSI Group.

Rustans also owns a chain of department store and supermarkets while the Tantoco family holds the franchise of Starbucks in the Philippines.

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