GT Capital increases stake in power unit
Tycoon George Ty’s GT Capital Holdings Inc. on Wednesday exercised its option to acquire 25.52 million common shares of stock of Global Business Power Corp., worth an estimated P893 million.
In a disclosure to the Philippine Stock Exchange, GT Capital said the common shares it acquired, which represented 4.6 percent of Global Business Power’s outstanding capital stock, were priced at a fixed P35 per share.
The company explained that this option was granted under a memorandum of agreement it signed with Global Business Holdings Inc. on December 27 last year. The exercise of the option only fulfills an item in the use of proceeds portion of GT Capital Holdings’ prospectus, it added.
Global Business Power is a joint venture among several companies whose main players are Global Business Holdings Inc. and First Metro Investments Corp., a subsidiary of the Metropolitan Bank and Trust Co. and a member of the Metrobank Group of Companies.
At present, Global Business claimed to be the leading independent power provider in the Visayas, with a combined total capacity of 633 megawatts of power supplied to the Visayas region.
Wednesday’s move forms part of GT Capital’s market activities in the wake of its initial public offering last month.
Article continues after this advertisementAs part of its P21.6-billion initial public offering, GT Capital sold 47.4 million shares to the public at P455 apiece.
Article continues after this advertisementThe company’s debut marked the first IPO on the PSE for the year.
The issue was well received by both domestic and international investors, but demand was “overwhelming” from the domestic market, company officials said.
Excluding the over-allotment shares, the domestic market accounted for 42 percent of the transaction, with the domestic tranche being 2.24 times oversubscribed from both institutional and retail investors.
GT Capital brings together under one holding firm all the main business units of the Ty group, namely, Federal Land Inc., Toyota Motors Philippines Corp., AXA Philippines, Global Business Power and the Metropolitan Bank and Trust Co.
From its offer price of P455, GT Capital’s shares closed at P510 apiece Wednesday on the bourse.—Amy R. Remo
