ClixLogic targets to go public in next five years
INTERNET of Things (IoT) firm ClixLogic Inc. is eyeing to list on the Philippine Stock Exchange (PSE) by 2027 as part of its expansion efforts.
ClixLogic President Carlos T. Fernando said that the firm is banking on the widespread adoption of IoT in the country for its planned initial public offering (IPO) in five years.
“I would love the company to have its IPO in five years’ time. I am putting a lot of effort on Internet of Things. It is revolutionary. It is a game-changer. I want the Philippines to become the IoT capital of the world,” Mr. Fernando said on the sidelines of its partnership signing ceremony with First Circle on Wednesday.
“IoT will be ubiquitous in all industries. It can be applicable to business process outsourcing firms and many more. Widespread IoT adoption has to happen because we have to transcend the fact that a lot of parameters can be monitored remotely,” he added.
IoT refers to objects that are equipped with sensors, software, and various technologies that allow the connection and exchange of data.
The signing ceremony on Wednesday marked ClixLogic’s entry into First Circle’s “Growth Partners Program” which seeks to help high-potential small and medium enterprises (SMEs) by granting financing without interest or other fees.
Under the deal, First Circle would give an initial P15 million to fund their business expansion, according to Mr. Fernando.
“First Circle will start with 10% of our gross sales last year…. (First Circle) will give us at least P15 million for now, at the onset. Everything will depend on the potential businesses,” Mr. Fernando said.
“The sharing will be on 5% increments per year until the fifth year which is a maximum of 25%. That is the arrangement,” he added.
Meanwhile, First Circle Chief Executive Officer Patrick Lynch said that the program helps address a gap in the financing services sector.
“What we realized is that there was a gap in what the whole financing services sector provides which is helping medium businesses to go to large business and to being a listed company,” Mr. Lynch said.
“The First Circle Growth Partners Program addresses that by becoming shareholders in our highest potential clients and in return for that, giving companies access to free financing worth 10% of their annualized sales and that amount grows as they grow so they have access to more capital and the cost is zero. No fees whatsoever,” he added.
Based on its website, First Circle is a financial technology firm that helps SMEs via financing their business-to-business transactions.
ClixLogic is an IoT firm that offers various products and services such as work-from-home solutions, satellite phones, power-saving devices, and IoT solutions. — Revin Mikhael D. Ochave