SEC bars firm from selling securities
The Securities and Exchange Commission (SEC) has suspended the capability of BDO Leasing and Finance Inc. (BLFI) to sell securities to the public on the heels of a proposed backdoor listing initiative by a new investor group.
Given the SEC’s suspension order on BLFI’s registration statement, the Philippine Stock Exchange announced on Friday that it would implement a continued trading suspension on the shares of BLFI.
The SEC, through its Markets and Securities Regulation Department (MSRD), said on Friday that it had suspended the registration statement (RS) of BLFI after finding that the information contained in the RS had become “materially incomplete and inaccurate.”
The MSRD particularly noted the disclosure of BLFI that there would be a change in its primary business, from leasing and finance to a holding company as a consequence of BDO Unibank’s sale of its controlling stake in BLFI to a third party.
In the Philippines, no securities can be sold or offered for sale or distribution without a registration statement duly filed with and approved by the SEC. This statement is a set of documents containing an issuer’s intent to offer shares or other securities to the public.
In the case of BLFI, the controlling shareholder, BDO Unibank, recently agreed to sell its 88.54-percent stake to a new investor group that includes 8990 Holdings director Luis Yu Jr. and Pacifica Holdings Inc. independent director Vittorio Lim, who will each acquire 33 percent.
The buyers have stated their intention to make a tender offer to other shareholders. INQ
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