The case concerns the initial public offering (IPO) of Upson International Corp. (Upson), a leading retailer of IT products in the Philippines. Upson was scheduled to list on Philippine Stock Exchange on April 3, 2023. The IPO was set to issue 625,001,000 common shares, with an offer price of ?2.40 per share, and Upson planned to use the net proceeds to expand its network. The objective of the case is to run a stock valuation using the discounted cash flow and forward-looking comparable multiples methods. Students are asked to evaluate the growth prospects, challenges, and risks associated with Upson and the consumer electronics retail industry in the Philippines—and recommend whether or not a retail investor should invest in Upson’s IPO.
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