BUSINESS NEWS | enterprise

Biggest PH computer retailer Upson International files for IPO to expand store chain

By ICON Staff
Published May 31, 2022

Upson International Corp. (UIC), the country’s largest retailer of personal computers and information technology products, is looking to raise funds for expansion through an initial public offering (IPO).

UIC has filed with the Securities and Exchange Commission (SEC) on May 17, 2022 its Registration Statement to conduct an IPO to raise funds through the sale of up to 888.15 million common shares, comprised of up to 789.47 million primary shares and up to 98.68 million secondary shares for its plan to open 250 branches over the next three to five years to add to their existing 183 branches.

“There are rapid technological developments in computers and other IT products matched with growing market segments like educational needs and computer and IT-related jobs in all 17 regions. These are compelling opportunities that fuel the need for an aggressive expansion of our retail network nationwide,” UIC Chief Executive and President Arlene T. Sy said.

The maximum gross proceeds from the offer are expected to reach ₱4.88 billion.

The proposed offer period and target listing date on the main board of the Philippine Stock Exchange is in September.

Founded nearly three decades ago by businessmen and company directors Ricardo Lee and William Lim, UIC is the parent company of tech retailers Octagon Computer Superstore, Micro Valley, and Gadget King.

Amid the pandemic, UIC’s revenues grew 5% to ₱8,567.9 million in 2021 from ₱8,152.2 million in 2020, and its net income likewise increased by 95% to ₱403.6 million in 2021 from ₱206.7 million in 2020, representing a compounded annual growth rate (“CAGR”) of 8% for revenues and 78% for net income over the last four years.

Subject to regulatory approvals and market conditions, UIC will be the first IT retailer in the equity market.