Maynilad IPO

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  The proposed transaction is an equity investment of up to US$100 million (mn), in Philippine peso equivalent, for a 5-6% stake in Maynilad Water Services Inc. (Maynilad, or the Company). Maynilad is planning to raise up to US$500mn in primary capital through an initial public offering (IPO) on the Main Board of the Philippines Stock Exchange (PSE), expected to be concluded by end-October 2025, by offering 25.6% stake in the Company. The proceeds will be used to fund Maynilad’s water and wastewater capital expenditures from 2025 to 2027. Maynilad is the largest water concessionaire in Southeast Asia. It operates under the Concession Agreement (CA) signed on May 21, 2021 (until 2037) with the Metropolitan Waterworks and Sewerage System (MWSS), a government agency responsible for ensuring the availability, quality, and sustainability of water supply and sewerage services in Metro Manila and nearby provinces. Following the CA, Maynilad is granted the right to manage, operate, repair, decommission and refurbish all fixed and movable assets required to provide water delivery and sewerage services in the Metro Manila West Zone. As of December 31, 2024, Maynilad served approximately 10.4 million people in 11 cities in Metro Manila, including (a) the entire Caloocan, Malabon, Navotas, Valenzuela, Pasay, Parañaque, Las Piñas, Muntinlupa and (b) parts of Quezon City, Manila, and Makati City, as well as 3 cities and 3 municipalities in Cavite Province, including Bacoor, Imus, Kawit, Rosario, Noveleta, and Cavite City.  Maynilad operates eight water treatment plants (WTPs) with a combined capacity of 2,877 including La Mesa Treatment Plants 1 and 2 with 1500 MLD and 900 MLD capacity respectively. Water supply and distribution system comprise a network of 7,912Km of pipes, 40 pumping stations and 39 distribution reservoirs with a total storage capacity of 779 ML. Maynilad operates a wide-ranging domestic and industrial wastewater management system in the West Zone of the Greater Manila Area. The system includes 24 sewage treatment plants commonly referred to as the Water Reclamation Facilities (WRFs), over 650 kilometers of sewer pipelines, 129 pumping and lift stations, as well as three septage treatment facilities. The latter is serviced by a fleet of 93 desludging trucks. WRFs use a combination of conventional and advanced treatment technologies. The current combined treatment capacity of these WRFs is 744 MLD.  As of March 31, 2025, Maynilad had 5 WTPs in their pipeline, some of which are currently under construction. These include Julian Modular Treatment Plant (3 MLD, 90% complete), Pasay New Water (12 MLD, 82% complete), Molino Modular (5 MLD, 93% complete), Ligas Modular (18 MLD, 1% complete), Teresa Water (300 MLD, 17% complete). The pipeline of WRF projects include pipeline of eight wastewater facility projects, including five WRFs and three Conveyance System Projects. The receiving bodies are Manila Bay and Laguna de Bay Lake either directly or via creeks and rivers that lead to these two water bodies.  For new construction Maynilad utilizes EPC contractors selected on an open tender basis.