Ayala to keep PHINMA Energy a listed firm

By Madelaine B. Miraflor – May 1, 2019, 10:00 PM
from Manila Bulletin

As it mulls the possibility of going public, AC Energy, the power unit of Philippines-based conglomerate Ayala Corporation, is keeping PHINMA Energy Corporation (PHEN) as a listed company in the Philippine Stock Exchange (PSE) after acquiring it.

Ayala President Fernando Zobel de Ayala >

                                                                                                  Ayala Corporation President and Chief Operating Officer Fernando Zobel de Ayala said there are still plans to list AC Energy in the PSE in the future but no firm plans have been made yet.

Right now, AC Energy’s exposure to the capital market is limited and only through its parent company Ayala Corp. Soon, it will also be through PHEN, which it recently acquired for P3 billion.

“Our intention is to keep it as a listed company,” AC Energy President and CEO Eric Francia said in a recent interview.

Since PHEN is already a listed company, AC Energy could also explore the possibility of a backdoor listing. When asked about it, Francia didn’t comment.

It was just last week when Philippine Competition Commission (PCC), the government’s antitrust body, allowed AC Energy to acquire a majority stake in PHEN.

Francia said that as part of PHEN acquisition, AC Energy will make a tender offer within this quarter for other PHEN shareholders who would wish to sell their shares. The value of these shares is estimated at P2.6 billion and will result in a total stake for AC Energy at PHEN of around 68 percent.

In the meantime, AC Energy will first acquire a combined amount of 51.48 percent stake in PHEN from PHINMA, Inc. and PHINMA Corp.

PHINMA Corp. will particularly sell its 1.28 billion shares in PHEN to AC Energy, representing a 26.25 percent stake, while PHINMA Inc. will sell its 25.23 percent stake in PHEN to AC Energy.