MPIC to delist from PSE

Pangilinan-led Metro Pacific Investments Corp. (MPIC) is set to voluntarily delist from the Philippine Stock Exchange (PSE), as its controlling shareholders are set to buy out the minority through a P48.6 billion tender offer.

In a regulatory filing on Thursday, MPIC said a consortium of major shareholders — Metro Pacific Holdings Inc. (MPHI), GT Capital Holdings Inc., Mit-Pacific Infrastructure Holdings Inc., and MIG Holdings Incorporated — is set to acquire the remaining 36.6% at P4.63 apiece.

The delisting was unanimously approved by the firm’s board on April 26, 2023, subject to compliance with regulatory requirements. The company has also voluntarily suspended trading of its shares.

In a separate filing, MPIC’s parent firm First Pacific Company Ltd. said it will spend some $90 million to boost its stake in MPIC by as much as 3.8% through MPIH, using internal financial resources.

“We envision this transaction will release value in MPIC for the benefit of our shareholders and we look forward to working with our partners in MPIC for the long term, undistracted by the need to focus on short-term — often quarterly — goals that public ownership often imposes,” First Pacific executive director Christopher Young said.

GT Capital is set to spend $70 million to hike its stake to up to 20%, also funded internally. Mit-Pacific would then buy up to 20%, with the tender offer valuing MPIC at P133 billion in equity value.

“This further diversifies GT Capital’s core portfolio. Our participation aligns with our mission of creating further value for our stakeholders and contributing to nation-building,” GT Capital chief financial officer Francisco Suarez Jr. said.

“By combining MPIC’s business foundation with Mitsui’s long-standing capabilities and experience in the global infrastructure business, we will contribute to the energy transition in the Philippines,” Mitsui general manager Takehiko Ainoya said.

MPIC currently owns 47.5% of Manila Electric Co. (Meralco), 99.9% of Metro Pacific Tollways Corp., 52.8% of Maynilad Water Services Inc., 20.0% of Metro Pacific Health Corp., and other assets. —VAL, GMA Integrated News