The National Reinsurance of the Philippines (PhilNaRe) successfully listed on the Big Board of the Philippine Stock Exchange (PSE) last April 27, 2007.

After the strong support by the local small investors who represented 90% of the 12,000 subscribers, the company is estimated to raise its market capitalization to approximately P9 billion. This increase in capital will correspondingly enable the company to increase its capacity to accept and retain premiums.  More importantly, it will enable PhilNaRe to achieve an acceptable reinsurance rating as a security in the Asian region, which is an essential prerequisite to gaining entry into the Asian reinsurance markets.

“We are both thankful and proud of the support all these local investors have shown during this whole process.” According to Mr. Wilfrido Bantayan, President and Chief Executive Officer of PhilNaRe.

“Because of this show of support, we are committed to delivering over and beyond what we have targeted. Also, we want to show the region what a Filipino company can be capable of.”

After last year’s powerful merger between the state pension fund Government Service Insurance System (GSIS), the Yuchengco-owned Universal Malayan and the Ayala-owned BPI group, the company decided to dedicate themselves to true nation-building and local market maturity.

The next phase of this capital enhancement program will be dedicated to looking for a strategic investor to complete the program. The International Finance Company (IFC), the investment arm of the World Bank, was interested in supporting the IPO of PhilNaRe with a private placement of $15 million. These negotiations may be rejuvenated after this successful listing exercise.