Private equity company buys into Coastal Road firm

A+
A
A-

A backhoe piles up boulders for a seawall for the seven-kilometer alternative coastal highway connecting Metro Manila and Cavite. The Coastal Road Corp., which is the parent firm of Cavitex Infrastructure Corp., the operator and builder of the toll highway, announced on Tuesday, April 17, 2012, that it had sold 30 percent of its stock to Thornhedge Equity Investments, an investment company representing a group of New York-based private equity investors. AFP PHOTO/JAY DIRECTO

The parent firm of the Coastal Road tollway operator on Tuesday said that it had sold 30 percent of its stock to a group of foreign investors, as it painted a healthier financial picture for the company with the retirement of its pricey debt financing scheme.

In a statement, the Coastal Road Corp. (CRC) announced the sale of 30 percent of its stock to Thornhedge Equity Investments, an investment company representing a group of New York-based private equity investors.

“Thornhedge will participate directly on CRC’s reclamation and other infrastructure projects,” the company said.

Thornhedge was advised on this transaction by TAP Advisors, a New York boutique investment bank.

CRC is the parent firm of Cavitex Infrastructure Corp. (formerly UEM Mara Philippines Corp.), which is the operator and builder of the toll highway that connects Metro Manila to the province of Cavite.

Amid rumors that Manuel V. Pangilinan of the First Pacific group has been wooing the owners of the Coastal Road project for a stake in the firm, Cavitex president Luis Virata stressed that the telecommunications tycoon was “absolutely not” part of the deal, and that the buyers were a “totally independent group.”

At the same time, Cavitex Finance Corp, a Cayman Islands special purpose company, announced Tuesday that its profitability is expected to improve significantly with the completion of its tender offer to purchase bonds issued by Manila Cavite Toll Road Finance Corp.

Disclaimer: The comments uploaded on this site do not necessarily represent or reflect the views of management and owner of INQUIRER.net. We reserve the right to exclude comments that we deem to be inconsistent with our editorial standards.

  • http://joboni96.myopenid.com/ joboni96

    ‘sold 30 percent of its stock to a group of foreign investors’

    dayuhan na naman
    limpak ang kita
    mula sa ating bayad sa toll

    tubo lugaw
    hindi tuwid na daan
    daang pnoy

  • http://pulse.yahoo.com/_YAYZCQ4KSBQRKR2LLGX5XRMXFI pepe

    KAWAWA NGAYON ANG MGA MANGINGISDA… PAG LAHAT NG COASTAL AY PRIVATIZED NA, IPAGBABAWAL NA ANG PUMALAOT TULAD SA SM MALL OF ASIA, NA SINISITA ANG MGA MANGINGISDA NG MGA GUWARDIYA NILA NA PARA BANG SINASABI NA NABILI RIN NG MGA AMO NILA ANG BAYBAYING DAGAT…  

    BAWAS-BAWASAN NAMAN NINYO ANG PAGIGING GAHAMAN NINYO… KASAMA KA NA MR. RETARDED PRESIDENT….

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

editors' picks

advertisement

popular

advertisement

videos