By Alexandria Grace C. Magno, Reporter
ANALYSTS said Mynt, Inc.’s final initial public offering (IPO) price of P6.60 per share is more balanced and less stretched than the previously indicated P10 maximum, although the shares are not cheap and investors should watch credit quality as lending becomes a bigger part of the financial technology (fintech) company’s business.
DragonFi Securities, Inc. Senior Research Analyst Jarrod Leighton M. Tin said the lower price makes Mynt’s valuation less stretched than the original maximum.
“At P6.60, GCash/Mynt is less stretched than the original P10 range, but we wouldn’t call it cheap,” he said in a Viber message last week.
“At roughly 24.6x trailing earnings, it looks full against 7.3% net income growth, though more defensible against 47.3% ongoing revenue growth.”
Mr. Tin said the lower offer price also reflected a more difficult market environment.
“The 34% cut shows the market pushed back on P10 given a difficult backdrop of a weak peso, inflation worries, and the unresolved US-Iran conflict, while the sellers, who account for about 80% of the offer, prioritized liquidity over price,” he said.
Globalinks Securities and Stocks, Inc. Head of Sales Trading Toby Allan C. Arce said the final offer price represents a more balanced valuation for Mynt.
“I think the P6.60 final offer price represents a more balanced valuation for Mynt, particularly compared with the original maximum price of P10,” he said in a Viber message.
“The 34% discount to the ceiling suggests that the company and its underwriters have taken into account both the strength of GCash’s fundamentals and the more challenging valuation environment in the Philippine equity market.”
Mr. Arce said Mynt offers a combination of scale, profitability, and growth that is relatively uncommon on the Philippine Stock Exchange (PSE).
He said the company has expanded beyond payments into lending, investments, savings, and insurance, which are becoming increasingly important parts of its business.
“Mynt’s attributable equity earnings to Globe increased by 64% in 2025, while its lending and wealth-management businesses continued to expand strongly,” he said.
Mr. Arce said the P6.60 offer price leaves more room for investors to participate in Mynt’s future growth rather than pricing most of that growth into the IPO from the outset.
He added that investors have become more sensitive to valuations amid relatively attractive returns from fixed-income alternatives.
Mr. Arce also cited the participation of more than 20 domestic and international cornerstone investors, whose aggregate commitments covered approximately the entire institutional tranche before final pricing.
“That suggests sophisticated investors see value in the combination of GCash’s market position, profitability and longer-term growth prospects,” he said.
He said the final pricing indicates that investors are assigning a premium to GCash’s position in Philippine financial technology while remaining sensitive to valuation.
“I think the P6.60 pricing shows that the market is assigning a meaningful premium to GCash’s leadership in Philippine fintech, but is also imposing valuation discipline on that growth story,” Mr. Arce said.
“Investors clearly recognize the value of its large ecosystem and the structural shift toward digital financial services, but they are not necessarily willing to pay any price simply because GCash is the country’s dominant finance superapp.”
Still, the analysts said Mynt’s expansion into lending and other financial services also brings additional risks.
“Investors should watch credit quality, since growth now leans on unsecured lending and provisions already absorb 44.1% of CreditTech revenue,” Mr. Tin said.
He also flagged Mynt’s expected public float of 12.06% to 13.86%, which he said is below the 15% needed for Philippine Stock Exchange index inclusion, as well as the expiry of a lock-up period around April 18, 2027, when about two-thirds of the company could become eligible for sale.
Mr. Arce said Mynt’s valuation would increasingly depend on how effectively it generates more revenue from its existing customer base rather than simply adding users.
“The next stage of the valuation story will increasingly depend on monetization rather than simply user growth,” he said.
“GCash already has substantial scale, so investors will be looking for higher engagement and revenue per user as customers adopt more lending, investment, savings and insurance products.”
He said credit and wealth management could become increasingly important earnings drivers, although lending growth would also expose the company to greater asset-quality and credit-cost risks.
“That diversification gives Mynt a potentially longer growth runway than a pure payments business, but it also introduces new risks,” Mr. Arce said.
“As lending becomes more significant, investors will pay closer attention to asset quality and credit costs, while newer financial products will have to demonstrate that they can generate sustainable margins.”
Mr. Tin cautioned investors against buying the shares solely in anticipation of a sharp gain immediately after listing.
“A small allocation makes sense for those who want exposure to a landmark listing, but we wouldn’t chase a first-week pop,” he said.
Mr. Arce described the final offer price as a compromise between Mynt’s relative scarcity on the local market and investors’ valuation discipline.
“Overall, I would interpret the P6.60 price as a compromise between scarcity value and market discipline,” he said.
“It recognizes GCash as a differentiated growth company in a market dominated by more traditional sectors, while leaving enough valuation headroom for investors to participate in the next phase of the company’s growth.”
Mynt, the financial technology company behind GCash, set its final IPO price at P6.60 per share last Friday.
The company will offer up to 8.03 billion common shares, with an overallotment option for up to 1.20 billion additional secondary common shares.
The base offering will comprise up to 1.61 billion newly issued common shares and up to 6.42 billion existing common shares to be sold by current shareholders.
At P6.60 per share, the base offering is worth about P53 billion. The transaction could reach about P60.92 billion if the overallotment option is fully exercised.
The shares will be listed on the PSE’s Main Board under the ticker symbol GCASH.
Based on its final IPO prospectus, 60% of the net proceeds from the primary offer will be used to fund the expansion of Mynt’s CreditTech business. The remaining proceeds will be allocated to product development and general corporate purposes.