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Axelum IPO by First Metro bombs on opening day

Coconut product manufacturer Axelum Resources failed to pop on its first day of trading.

Coconut product manufacturer Axelum Resources failed to pop on its first day of trading.

Axelum, which tapped First Metro Investments Corp. as issue manager and bookrunner, touched its intraday high and low prices within the first hour of opening. It debuted at P5.29 per share Monday, a 5.8 percent increase from its initial public offering price of P5 each share.

The stock slipped to a low of P4.36. It is now trading at P4.72 each share.

Axelum, the first pure coconut product maker to list on the stock exchange, still failed to generate enough investor interest despite pricing its shares at the bottom of the projected range.

Axelum is a fully integrated manufacturer of coconut products for domestic and international food and beverage companies, confectioneries, bakeries, private label supermarkets and grocery store chains, food service industries, coconut coffee creamer manufacturers, cosmetics and diet prepared food market.

The company’s main production facility is located in Medina, Misamis Oriental. It also owns two manufacturing plants in the US and Australia, enabling it to export and distribute its products in major markets around the world such as Canada, New Zealand, Eastern Europe, Europe, Middle East, Japan, and major countries in Asia.

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