A unit of Metro Pacific Investments Corp. (MPIC) has acquired a controlling stake in operations and maintenance arm Tollways Management Corp. (TMC) by buying the stake held by foreign partner Egis Road Operation S.A.
Metro Pacific Tollways Development Corp. (MPTDC) bought the 14-percent stake in TMC from the French engineering and infrastructure group, raising its interest in the company to 60 percent.
The purchase price for the acquired shares was paid in cash, the Metro Pacific group told the Philippine Stock Exchange on Wednesday.
MPTDC is a wholly-owned subsidiary of Metro Pacific Tollways Corp., the toll roads unit of Metro Pacific Investments Corp.
Incorporated in 2000, TMC is primarily engaged in carrying on the operations and maintenance of toll roads, its facilities, interchanges and all related works.
TMC operates and maintains the 84-kilometer North Luzon Expressway and the 94-kilometer Subic Clark Tarlac Expressway (SCTEx). It also operates and maintains the 8.8-kilometer Subic Freeport Expressway (SFEX) whose eastern portion directly connects to SCTEx.
Earlier, the group announced a merger between tollroad concessionaire Manila North Tollways Corp. (MNTC) and TMC, a move seen to boost the capacity of MNTC to fund expansion projects.
As the surviving corporation, MNTC’s corporate existence will continue. It acquires all respective rights, businesses, assets and other properties of TMC. MNTC will also assume all the debts and liabilities of TMC.
MPIC grew its nine-month core profit by 13 percent year-on-year to P9.3 billion on expanded power portfolio and higher earnings from tollroads and hospital businesses. —DORIS DUMLAO-ABADILLA