Quantcast
Latest Stories

Premier Network buys into Victorias Milling

By

British Virgin Island-based firm Premier Network International Ltd. has acquired a 24-percent stake in Victorias Milling Corp., becoming the sugar firm’s single largest stockholder.

VMC disclosed to the Philippine Stock Exchange on Tuesday that Premier Network had acquired 484.67 million shares of the sugar milling company.

This block was acquired by Premier in late December from CVI GVF Lux Masters, another foreign firm, a significant but passive investor in VMC since the mid-2000s.

Premier bought the stake in VMC, which resumed trading in the local stock exchange in May last year, at P1 per share.

VMC chairman Wilson Young said Tuesday the buyer was not affiliated with the Lucio Tan group of companies, which has a 16-percent interest in the sugar firm through Philippine National Bank and Tanduay Distillers Inc.  The Lucio Tan group is the second-biggest voting block in VMC next to the new investor group.

Young said the existing shareholders of VMC had yet to meet the representatives of the new investor group. He said the entry of the new group would not likely result in the overhaul of the VMC board. Although stockholders of the company in their meeting on Feb. 5 will elect a new board for the next term, the nomination period is over.

VMC has been undergoing a creditor-driven rehabilitation program. It expects to slash its debt stock by about P1.27 billion by retiring some obligations ahead of maturity and converting some debt notes into equity.

In late December, VMC’s board approved the conversion of about P272.86 million convertible notes into equity and the prepayment of P1 billion in restructured loans in line with the debt restructuring agreements with creditors.

Some P272.86 million debt notes will be converted into equity equivalent to 272.86 million shares. With the additional shares, VMC’s total issued and outstanding capital will be 2.297 billion, it said in the disclosure. In the meantime, the company will prepay P1 billion in debt on Jan 15.

By addressing P1.27 billion worth of debt, VMC’s total debt stock is estimated to go down to about P2.2 billion, half of which represents the remaining convertible notes and the other half will be the restructured loans.

Every year until the notes fall due in 2018, holders of VMC’s debt notes have the option to convert their exposure into equity.


Follow Us


Follow us on Facebook Follow on Twitter Follow on Twitter


Recent Stories:

Complete stories on our Digital Edition newsstand for tablets, netbooks and mobile phones; 14-issue free trial. About to step out? Get breaking alerts on your mobile.phone. Text ON INQ BREAKING to 4467, for Globe, Smart and Sun subscribers in the Philippines.

Tags: acquisition , Business , Premier Network International , sugar , Victorias Milling Corp.



Copyright © 2014, .
To subscribe to the Philippine Daily Inquirer newspaper in the Philippines, call +63 2 896-6000 for Metro Manila and Metro Cebu or email your subscription request here.
Factual errors? Contact the Philippine Daily Inquirer's day desk. Believe this article violates journalistic ethics? Contact the Inquirer's Reader's Advocate. Or write The Readers' Advocate:
c/o Philippine Daily Inquirer Chino Roces Avenue corner Yague and Mascardo Streets, Makati City, Metro Manila, Philippines Or fax nos. +63 2 8974793 to 94
Advertisement
Advertisement

News

  • Luzon grid power reserve ‘enough’ for Holy Week
  • Pimentel proposes incentives for companies that will hire ex-convicts
  • State seeks guilty verdict for Abalos
  • SBMA execs, 2 others face graft raps
  • Pangasinan beachgoers warned vs jellyfish
  • Sports

  • My ideal weight is 140, declares Pacquiao
  • Freddie Roach: I’m satisfied; Manny Pacquiao did well
  • New-look Azkals tie Qatari side
  • San Miguel Beermen eye No. 2 slot, battle Air21 Express
  • Filipinos yield to Iraqis anew Asian club volley
  • Lifestyle

  • Celebrate Easter Sunday at Buddha-Bar Manila
  • Moriones feast: A slow, steady transformation
  • Weaving ‘palaspas’ a tradition kept alive in Tayabas City
  • Finalists announced for best translated books
  • Summer treat for your aspiring astronomers
  • Entertainment

  • Miley Cyrus hospitalized, cancels US concert
  • Otaku Summer Jam 2014: Summer’s hottest J-rock/Cosplay event
  • 2NE1 returns to Manila with “All Or Nothing” Tour
  • Gary Valenciano just keeps moving
  • Noisy celeb spews venom, backs off when confronted
  • Business

  • Longer TRO sought on rate hike
  • Make a stylish statement with the all-new Yaris
  • Hearing set in Olarte case
  • BOC sues steel importers
  • BIR continues to miss collection target
  • Technology

  • Tech company: change passwords or suffer ‘Heartbleed’
  • Filling the digital talent gap
  • SSS to shut down website for Holy Week
  • Another reason to quit social media this Holy Week: your safety
  • Philippines may watch ‘blood moon’ online
  • Opinion

  • We may never know
  • Couple of things
  • Mommy D’s magic
  • Stop bizarre and bloody Good Friday rituals
  • Holy Week taboos
  • Global Nation

  • No travel restrictions to Middle East amid MERS-CoV scare
  • Measures set against entry of MERS-CoV
  • Japan backs PH in case before UN
  • Las Vegas union starts pickets over wages, benefits
  • Fil-Am Daly City councilor has eye on Superior Court seat
  • Marketplace