MVP group not interested in PAL


Businessman Manuel V. Pangilinan said his group was not keen on buying into flag carrier Philippine Airlines.

He made the statement in reaction to reports saying he was among those being offered to acquire tycoon Lucio Tan’s 51-percent stake in the airline.

Pangilinan, who heads some of the country’s biggest companies like Metro Pacific Investments Corp. and Philippine Long Distance Telephone Co., said there was no current plan to buy an airline.

“It’s not our business,” Pangilinan told reporters in a chance interview at the sidelines of the launch of this year’s The Outstanding Young Men award.

Biz Buzz reported on Monday that Pangilinan’s camp was being offered a stake in Philippine Airlines, after Tan’s group signified its intent to exit the airline business after two decades.

Tans’ group began its exit from PAL in 2012, when it sold 49 percent of Philippine Airlines to San Miguel Corp.—whose president, Ramon Ang, vowed to bring the airline back to profitability by 2014. San Miguel was initially tagged as the prospective buyer of Tan’s remaining shares although the company denied this earlier this month.

San Miguel’s buy-in price was pegged at $500 million and reports noted that Tan was looking to unload his remaining shares for about the same price.

Philippine Airlines has been operating in a difficult business environment. In recent years, it has been affected by increasing competition from aggressive players including Cebu Pacific, a Gokongwei-led budget carrier, and rising fuel costs. Restrictions imposed by United States and European regulators on Philippine carriers have prevented PAL from expanding in those jurisdictions.

Trading of PAL Holdings Inc., the listed holding company of Philippine Airlines, at the Philippine Stock Exchange remained suspended as the company had yet to comply with the 10 percent minimum public ownership rule of the bourse.

Ang said earlier that PAL Holdings, which has a public float of just 0.55 percent, would comply with the said rule within the month. PAL Holdings, which last traded on Dec. 28 last year, closed at P4.90 each, giving it a market value of P109.9 billion.

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  • mamamiamia

    Tip mga hija. Sa western world, mga investors are not to keen in investments sa mga airline companies. they will not touch it with a 10 foot pole. MVP did the right thing. He knows and he is doing his research and assignments! Read mga hija! huwag lang tabloid at local news but global business news!

  • kilabot

    one sinking property (tv5) is one too many for mvp.
    why is he holding on to it?
    because that’s where his fancy is.

  • concernedofw02

    How could MVP bought a share from a person named Lucio Tan which is also one of the members of MVP’s group. Although it happen sometimes, but Lucio Tan, MVP and their group knew that the profitability is very slim, even close to losing. Lucio Tan is a member of Hongkong Triad, which in effect are the controlling group of MVP’s ruled companies. The Triad members from macau, Hongkong. Malaysia, Indonesia, Japan and the Philippines and controlling it, not MVP.

  • archerfan

    please, this mvp is just an employee and front man by the pacific group, which is owned by corrupt politicians from HK, Malaysia, Indonesia etc. This means that the companies they say mvp bought are in effect owned by foreigners. They dictate what to buy and how much profit they want. so even if you see him donate here donate there, sponsor this and that, sa dulo babawiin din nila sa singil nila sa meralco, maynilad, nlex etc. so taong bayan ang nahihirapan. at walang pakialam yung mga real owners kasi di naman sila pinoy.

    • indiosbravos2002

      A glorified manager.

    • batangpaslit

      Tama ka, Bro.
      Manny do not make the decision.
      He’s a top notch executive; but, he is not/not the owner. He’s a valued employee, but business decision lies with the majority stockholders whom you deftly identified as foreigners—-greedy for gain.
      They don’t have in mind what is beneficial to the old homeland. What matters to them is only their bank accounts.

    • MNLFoodcritic

      Correct. He’s just an employee of the Salim family of Indonesia. Metro Pacific is owned by First Pacific of HK, which in turn is owned by the Salim Group of Indonesia, which is run by the sons of the founder, the late Liem Sioe Liong.

  • carlcid

    As the standing joke goes, if a billionaire wants to become a millionaire, he should buy himself and airline. Apparently MVP is not falling for that.

  • Pilipinas Blogger

    maybe MVP should focus on upgrading our rail system. i think mas maraming makikinabang kapag naayos ang PNR.

  • kismaytami

    Well then good. manny pangilinan’s companies are as greedy as him, but the service sucks, such as Smart, Meralco and Maynilad.

    • tanga_hanga_ni_abnoy

      is it because the guy also sucks?

      • Eddwardd

        tama ka…

        dis guy loves business monopoly or only 2 businesses competing each other na pareho lng ang serbisyo…

        kya malas siya sa tv5 nya kc maraming pagpipilian ang market sa industriyang iyon…pero sa mga negosyong pinamahalaan nya naku wlang choice ang tao kaya lunok nlng ang taumbayan…

        Noong naging estudyante ako saludo ako kay MVP na akala ko magaling siya sa business..Noong pumasok ako sa financial market lalo kong nalaman ang side kung anong business meron itong First Pacific na mahilig sa public utilities at business monopoly..kya sori Mr. MVP d na ako saludo sa iyo..

    • batangpaslit

      you can say it again.
      celfons? if it is prepaid, you lost 75% of your hours.
      internet, if it is post paid, 75% of the time you don’t have an internet connection, but you are billed for 100%.

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