Canadian conglomerate eyed for PSE cross-listing

Catanduanes Rep. Joseph Santiago has urged the Philippine Stock Exchange (PSE) to induce as possible cross-listing participant a Canadian conglomerate that has a vast and thriving business process outsourcing (BPO) operation in the country.

Santiago, former chief of the National Telecommunication Commission (NTC) and a promoter of the country’s booming BPO industry, was referring to Toronto, Ontario-based Onex Corp., whose shares trade on the Toronto Stock Exchange (TSE).

"We already have two large Canadian entities listed in the PSE, so drawing in Onex as a cross-listing participant should not be that difficult," said Santiago, referring to Manulife Financial Corp. and Sun Life Financial Inc., whose shares trade on the PSE and the TSE.

Onex is the parent of Nashville, Tennessee-based ClientLogic Corp., which in turn owns ClientLogic Philippines Inc., one of the largest call-center operators in the country.

ClientLogic Philippines has two call-centers — one in Ortigas Center, Pasig City and one at export-processing zone in Baguio City.

The firm invested P1.2 billion to build a total of 2,565 call-center seats at the two locations. The seats are now staffed by 3,591 college-trained, English-speaking Filipinos.

ClientLogic’s clients include electronics and media giant Sony Corp.; direct broadcast satellite subscription TV provider DIRECTV Group Inc.; financial services giant ABN AMRO Holding N.V.; digital video recorder services provider Tivo Inc.; telecommunication provider BT Group plc.; and Internet software and services provider United Online Inc.

ClientLogic provides outsourced teleservices, including customer care and support, customer acquisition and retention and telemarketing.

One of Canada’s largest diversified companies, Onex has global operations in business services, manufacturing, healthcare and technology. The company has a market capitalization of $2.6 billion and posted $14.8 billion in revenues in 2005.

Besides ClientLogic, Onex’s subsidiaries are Celestica Inc., Spirit AeroSystems Inc., Emergency Medical Services Corp., Skilled Healthcare Group Inc., Cineplex Entertainment Limited Partnership, Res-Care Inc., Cosmetic Essence Inc., Center for Diagnostic Imaging Inc. and Radian Communication Services Corp.

Santiago earlier named six US-based BPO providers with huge and growing Philippine operations as possible PSE cross-listing participants — PeopleSupport Inc., SITEL Corp., APAC Customer Services Inc., Sykes Enterprises Inc., ICT Group Inc. and TeleTech Holdings Inc.

All of them are listed on the NASDAQ electronic stock market in New York, except for SITEL, which is listed in the New York Stock Exchange.

The PSE previously said it intends to mount a campaign to lure foreign firms operating in the country to cross-list in the local bourse.