The Philippine Stock Exchange Inc. (PSE) remains optimistic on its target amount of capital to be raised in the bourse this year as well as the number of initial public offerings (IPO) despite recent market slowdown.

PSE president and CEO Ramon Monzon said they are maintaining the target of six IPOs and about P175 billion worth of capital to be raised this year.

'Eventually the market will turn around,' Monzon said.

The country's benchmark index recently went on a nine-day losing slump, falling to a low of 6,404.97 over escalating geopolitical tensions overseas.

'Again, it's a global influence. I think the market will get over that. We always have these challenges but somehow the market rebounds,' he said.

In terms of IPO, Monzon said he is in talks with other companies aside from the two firms that are currently lined up.

Expected to be the first IPO this year is OceanaGold Corp. on May 13, to be followed by Citicore Renewable Energy Corp. eyed on May 31.

The PSE had nine IPOs in 2022, the most number of IPOs in a single year since 2007.

However, it dropped to only three in 2023.

While there is an expectation of an IPO rebound in the Philippines coming from a lackluster year, SGV Capital Markets group leader Dolmar Montañez earlier said that companies still need to be wary of potential headwinds coming from geopolitical tensions and delays in expected interest rate cuts.

Montañez said companies planning for IPO need to strengthen their financials and demonstrate sustainable operations that can support the eventual valuation of their companies during IPOs.

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