Metro Retail bucks bearish market in debut

MANILA, Philippines - Cebu-based retailer Metro Retail Stores Group Inc. made its debut on the Philippine Stock Exchange yesterday, closing a little above its initial public offering price.

Metro Retail opened at P4.30 each share before closing at P4 or one centavo higher than its IPO price of P3.99.

The company successfully raised P3.6 billion from the offering which would be used to fund its expansion initiatives.

Metro Retail  plans to add around 60 to 70 stores within the next two years.

Frank Gaisano, chairman and chief executive officer of Metro Retail, said the public listing is only the first step in the company’s move to become a major player in the country.

The company, he said, is now ready to compete with other industry players in serving the value-conscious market and become a leading and well-admired retailer.

Frank’s  parents -- Victor and Sally --  founded the company in Cebu in 1982. I

It is one of the few regional retailers that have successfully expanded to other areas of the country.

“In the industry we often say that Cebu is the toughest market, where both local and Luzon-based national players are represented. If you can make it there, you can make it anywhere,” Gaisano said.

At present, Metro Retail operates 46 stores in key cities in the Visayas region, Central Luzon, National Capital Region, Calabarzon and Bicol region.

According to Euromonitor, Metro Retail is the Visayas’ largest department store and hypermarket operator and second-largest supermarket operator in 2014 in terms of retail sales value.

The three store formats are complemented by ancillary businesses that cater to customers’ varying lifestyles and diverse shopping requirements.

The anchor outlets, meanwhile, are the company’s very own Suisse Cottage Bakeshop, Metro Gourmet and Metro Pharmacy and services such as foreign exchange facilities and bills payment centers.

“We aim to provide a complete, experiential shopping experience where all our customers’ needs can be found under one roof,” Metro Retail president and COO Arthur Emmanuel said.

Metro Retail is the third company to list in the local bourse this year following Crown Asia and SBS Philippines Corp.