ABOITIZ Power Corp. (AboitizPower), the power unit of conglomerate Aboitiz Equity Ventures Inc. (AEV), is buying a Batangas-based distribution utility firm from its sister company for approximately P1 billion.
In a filing with the Philippine Stock Exchange on Thursday, AboitizPower disclosed that it will be buying out Lima Utilities Corp. from Lima Land Inc., a wholly owned subsidiary of Aboitiz Land Inc. AboitizLand is the property arm of AEV.
Lima Utilities Corp. is an electricity distribution utility operating in Lima Technology Center, Batangas.
“Acquisition of the shares in Lima Utilities Corporation is in line with Aboitiz Power Corporation’s strategy of expanding its EnerZone brand,” AboitizPower told the local bourse.
Valued at approximately P1 billion, the transaction involves the acquisition of a total of 8 million shares with a par value of P166.2 per share.
AboitizLand and AboitizPower are both wholly owned subsidiaries of listed holding conglomerate AEV.
In February, AboitizLand took over Lima Land with the acquisition of the entire stake of Marubeni Corp. in the latter.
AboitizLand acquired the remaining 360 million common shares in Lima Land from Marubeni, which brings AboitizLand’s ownership in Lima Land to 100 percent.
In October last year, AboitizLand bought out the majority stake of Lima Land from the Alcantara Group for P1.36 billion.
AboitizLand is the developer and operator of two economic zones, the Mactan Economic Zone II in Barangay Mactan, Lapu Lapu City, and the West Cebu Industrial Park in Balamban, Cebu through its subsidiary, Cebu Industrial Park Developers Inc.