MPIC selling 51% stake in Landco
By Elizabeth Sanchez-Lacson
Philippine Daily Inquirer
First Posted 02:51:00 01/07/2009
Filed Under: Company Information, Real Estate, Stock Activity
Metro Pacific Investments Corp. (MPIC), the Philippine publicly listed holding firm of Hong Kong-based conglomerate First Pacific Co. Ltd., will seek shareholder approval on Feb. 20 of a plan to sell its 51-percent stake percent in property firm Landco Pacific Corp.
MPIC is slated to hold a special meeting on Feb. 20 to ask shareholders to ratify several resolutions, including the Landco sale.
In a disclosure, MPIC said its board had confirmed a proposal to dispose of its shares in Landco, subject to board approval of the terms and conditions.
Company sources said MPIC was still in talks with its partners in Landco — Landco president Alfred Xerez-Burgos Jr. and his investment firm AB Holdings Corp. — on an option to sell the 51-percent stake to them.
AB Holdings and Xerez-Burgos own 49 percent of Landco.
The MPIC also said its board had approved a share swap that would result in raising its stake in water distributor Maynilad Water Services Inc. to 56.8 percent.
As part of the proposal, MPIC plans to issue 791.11 million new common shares, at P2.57 each — representing 7.75 percent of MPIC — in favor of French water operator Lyonnaise Asia Water Ltd. Pte. Ltd., to fund the purchase of additional shares in Maynilad.
In exchange, MPIC has agreed to purchase 236,000 Class B Maynilad shares from Lyonnaise Asia Water at P1,000 per share, for a total of P2.03 billion.
The deal is expected to be completed by June 30. With editing by INQUIRER.net >/strong>
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