Global fund increases stake in Manila Water

The Singapore-based unit of global fund manager Aberdeen Asset Management plc has increased its stake in Ayala-led Manila Water Co. Inc. to a little more than 5 percent, part of a continuing trend of local corporations drawing foreign money amid buoyant economic conditions.

A Philippine Stock Exchange disclosure Tuesday showed that Aberdeen Asset Management Asia Ltd. has accumulated a total of 100.94 million Manila Water shares, or 5.014 percent of the water concessionaire for Metro Manila’s East zone.

The Aberdeen unit acquired 6.49 million shares of Manila Water at P36.42 to P40.45 each over the last 60 days, increasing its stake to the current level. A disclosure is required once the 5-percent ownership threshold is breached.

The Philippines has received two investment-grade ratings from major debt watchers, Standard & Poor’s Ratings Services and Fitch Ratings, over the last two months. This helped bolster the benchmark Philippine Stock Exchange index (PSEi ) to new record highs. The stock price indicator has gained about 25 percent since the start of the year.

In December last year, US-based equity mutual fund Smallcap World Fund Inc. also reported that it accumulated a 5.15-percent stake in Manila Water.  Miguel R. Camus