Globe Fintech approves stock split for upcoming IPO

Globe Fintech Innovations Inc., operator of GCash, has approved a stock split ahead of its planned initial public offering (IPO), increasing the number of common shares to 71.66 billion and reducing the par value from P1 to three centavos per share.

Ayala Corp., which owns a 36% interest in Globe Fintech Innovations, said this move aims to enhance share liquidity and provide greater fundraising flexibility for the IPO.

Analysts noted that the stock split could make shares more affordable and liquid, potentially boosting GCash's IPO prospects.

In the first quarter, Globe received P1.8 billion in equity earnings from Mynt, a 86% increase year-over-year, as GCash expands its financial services beyond money transfers to include stocks trading and cryptocurrency.

Globe has been preparing for the IPO launch but is waiting on favorable market conditions before proceeding.