Documents filed with the SEC show, Cebu Air is planning an IPO consisting of 125.25 million new shares while current shareholder CPAir Holdings is selling 110.31 million shares plus 35.33 million shares under an over-allotment option.

The firm has given an indicative price of P95 per share although JG Summit corporate planning director Bach Johann Sebastian said “that’s only an indicative price that we placed in our filing.”

He noted that “it is required by the SEC that we indicate any price. But in offerings like this, we’ll determine the price from a formal book building exercise which can only start after our filing is approved by both the SEC and the PSE (Philippine Stock Exchange).”

The firm is planning to list its shares by May 4, 2010 and is expected to launch the share sale sometime next month.

Cebu Air said 164.89 million shares will be sold overseas outside of the United States, 47.11 million shares are being sold through brokers of the PSE while 25.56 million shares have been allocated for local small investors.

The airline has tapped Deutsche Bank AG, Hong Kong Branch and J.P. Morgan (S.E.A) Limited to be the international lead underwriters for the issue while ATR KimEng Capital Partners is the domestic lead under writer.

Net proceeds from the primary portion of the IPO, estimated at P10.11 billion will be used for pre-delivery or down payments for new aircraft, working capital and general corporate purposes including fuel and flying operations-related expenses, maintenance, passenger services, staff expenses and other related items.

Cebu Air intends to increase its fleet size to 47 planes by 2014 from the current 29 and has firm orders for 15 Airbus A320 aircraft, options for five Airbus A320, operating lease for two Airbus A320, and plan to acquire two more Airbus A320 through lease or purchase.

The firm said the additional planes will support its plans to increase frequency on current routes and to add new city pairs and destinations.

Over the next two years, the airline plans to add new international destinations such as Brunei, Beijing, Denpasar, Fukuoka, and Nagoya, and new domestic destinations such as Pagadian and Marinduque. (www.mb.com.ph)

The company, which tallies a 52 week high of 3.90 and a 52 week low of 0.20, ended with a volume of 1,000 with a 2,000 value to lead the top 10 top gainers.

Completing the list of top gainers are the following:

2. Unioil Resources & Holdings Company, Inc. (UNI)

3. Basic Energy Corporation (BSC)

4. Atok-Big Wedge Company, Inc. “B” (ABB)

5. DMCI Holdings, Inc. (DMC)

6. IP E-Game Ventures, Inc. (EG)

7. Metro Pacific Investments Corporation (MPI)

8. Ginebra San Miguel, Inc. (GSMI)

9. Splash Corporation (SPH)

10. South China Resources, Inc. (SOC)

While All Shares rose 0.0504 percent, Financials, Industrial, Services, and Mining and Oil dropped relatively although Holding Firms and Property tallied high at market end.

There were 37 advances against the 56 declines and 67 remained unchanged in the market that saw a volume of 850 billion with 7,345 trades.

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The Minimum Public Ownership (MPO) rule has passed through various debates across the terms of various boards of directors of the PSE until 2005 when the rule was revoked as a continuing listing requirement and instead imposed as a requirement only for initial listing and backdoor listing applications.

The MPO rule is in line with the Capital Market Development Plan Action which aims to provide a fair and efficient facility for price discovery and to ensure that sufficient liquidity exists.

The proposed new rule will be disseminated to the public through the PSE website (www.pse.com.ph) for public comments before it is transmitted to the Securities and Exchange Commission for approval. (mb.com.ph)

The additional common shares brings the total number of common shares listed under the Management Stock Option Plan and Executive Long Term Incentive Program to 9,109,209 common shares.