FIRST PHILIPPINE HOLDINGS IS A CORPORATION THAT IS CONSTANTLY IN ACTION. WE’RE ALWAYS TRYING TO FIND WAYS TO DELIVER FOR OUR STAKEHOLDERS AND THE FILIPINO PEOPLE.
FPH Group signs share purchase agreement for Meralco shares
First Philippine Holdings Corporation’s (FPH) wholly-owned subsidiary, First Philippine Utilities Corporation (FPUC), entered into a Share Purchase Agreement with Beacon Electric Asset Holdings (Beacon), for the sale of FPH’s 2.66% stake in the Manila Electric Company (Meralco).
The sale covers 30 million common shares of Meralco at a price of P295 per share or a total of P8.85 billion. After completion of the transaction, FPH will continue to own approximately 3.9% of Meralco.
Prior to this, the Lopez Group executed an amendment to the Revised and Restated Cooperation Agreement with Metro Pacific Group comprised of Beacon, Metro Pacific Investments Corporation (MPIC), and PLDT Communications and Energy Ventures, Inc. on March 30, 2010. The amendment allows the Lopez Group to retain a board seat in Meralco after consummation of the sale.
On March 13, 2009 FPH approved an Investment and Cooperation Agreement with PLDT in managing Meralco. Under the agreement, PLDT or its assignee will purchase FPH’s 223 million shares in Meralco representing approximately 20% of the total issued and outstanding common stock at a price of P90 per share, or a total of P20.07 billion.
On November 5, 2009, FPH and MPIC entered into a Term Sheet Agreement where MPIC was given an option to purchase the Meralco common shares owned by FPH.
On March 1, 2010 FPH forged an Omnibus Agreement with Metro Pacific Group comprised of Beacon, MPIC, and Piltel over FPH’s 74.7 million common shares (option shares) or 6.6%of the total outstanding common shares in Meralco. The exercise price was P300 per Option Share or an aggregate exercise price of P22.41 billion.
On March 30, 2010, FPH completed transactions of its 6.6% stake in Meralco to Beacon. The transaction was effected by means of a block sale coursed through the Philippine Stock Exchange (PSE). FPH received a payment of P300 per share or a total purchase price of P22.41 billion.