The business climate around the world has been marked by uncertainties and fears among companies that want to raise capital, gain market visibility, and provide liquidity to early investors and employees. Investors, while remaining cautious, are eagerly looking for opportunities to diversify their portfolios and tap into high-growth opportunities.
Pamela Victoriano, SVP for Investment Banking at Unicapital Group
Unicapital Group (Unicapital), a leading independent financial services provider and investment firm, believes that although doubts and challenges persist, there are still opportunities to seize. They remain optimistic about the Philippine Initial Public Offering (IPO) market in 2025.
At a recent stock market forum, Pamela Victoriano, SVP for Investment Banking at Unicapital Group, shared why IPOs are set to make a big comeback this year—and why it matters to both companies and investors looking for high-growth opportunities.
Even in a challenging 2024 market, key players such as Citicore Renewable Energy Corporation, Oceana Gold (Philippines), Inc., and NexGen Energy Corporation successfully debuted on the Philippine Stock Exchange (PSE). With interest rates expected to gradually ease and corporate earnings projected to rise by 10%, Unicapital sees a wave of IPOs, with up to four major listings expected this year.
“The Philippine stock market is currently undervalued compared to regional peers, creating opportunities for investors,” said Pamela Victoriano, SVP for Investment Banking, Unicapital Group. “With favorable market conditions, we anticipate more companies tapping the public markets in 2025.”
What It Takes to Launch a Successful IPO
For companies looking to go public, timing, financial readiness, and investor engagement are critical. Ms. Victoriano emphasized that a successful IPO is not just about listing, it’s about long-term market positioning.
She outlined that strong corporate governance, transparent financials, and a compelling business narrative are essential to attracting both institutional and retail investors. Companies that engage investors early and align their strategy with market trends will be in the best position to maximize their IPO performance.
Catalysts for Market Growth
The Philippines’ reputation as one of Southeast Asia’s fastest-growing economies continues to attract both local and foreign investors. With a more stable macroeconomic environment, Unicapital expects IPO activity to accelerate, further strengthening the country’s financial landscape.
Recent regulatory reforms, including the Philippines’ removal from the Financial Action Task Force (FATF) gray list and proposed reductions in Stock Transaction Taxes and Documentary Stamp Tax (DST), are also set to enhance market accessibility and increase overseas investor participation.
Market innovations are also reshaping the investment landscape. The PSE’s introduction of new financial instruments, including Global Philippine Depositary Receipts and index futures, are expected to boost market liquidity and attract new participants.
In its 2025 outlook, Unicapital’s research team projects that the Philippine Stock Exchange Index (PSEi) could climb to 7,200–8,100 points by year-end 2025, fueled by strong foreign investment inflows and continued economic expansion.
Investing in the Future of the Philippine Market
While challenges persist, the Philippine capital markets continue to offer significant growth opportunities. As IPO momentum builds, driven by undervalued stock prices, expected interest rate cuts, and improving macroeconomic conditions, investors must remain strategic, informed, and agile to seize long-term opportunities in a rapidly evolving financial landscape. The IPO market resurgence opens doors for businesses to expand and attract long-term capital.
“We are cautiously optimistic about the future. We believe there’s been a lot of headwinds in terms of developing the capital markets and there’s still a lot more space for growth, which is good for investors and means a lot more work for all of us moving forward,” Ms. Victoriano stated.
As the Philippine stock market gains momentum, Unicapital continues to play a vital role in providing corporate finance and advisory services to companies and investors, including those seeking to go public, through its data-driven, expert, and personalized financial solutions.
