• First Gen to sell up to 32% of unit EDC

    0

    First Gen Corp. said on Thursday that a group of investors is acquiring up to 31.7 percent of Energy Development Corp. (EDC) common shares via a tender offer.

    Philippine Renewable Energy Holdings Corp. has agreed to acquire a minimum of 6.6 billion EDC common shares and a maximum of 8.9 billion common shares, or 23.5 percent to 31.7 percent of the total outstanding voting shares of EDC, according to First Gen.

    The bidder proposes to pay P7.25 a share, a 22.3 percent premium on the weighted average market price of P5.93 share over the last 30 days.

    The tender offer will commence at 9 a.m. on August 10 and end at 12 p.m. on September 18.

    First Gen said it will retain a 60-percent voting stake in EDC.

    It will earn approximately P14 billion from the deal involving the nation’s biggest renewable energy company.

    Philippine Renewable Energy is indirectly held by a group of investors including infrastructure asset manager Macquaire Infrastructure and Real Assets and Arran Investment Pte. Ltd., an affiliate of Singapore’s sovereign wealth fund GIC.

    First Gen and EDC Chairman Federico Lopez said they desired to partner with knowledgeable and experienced investors like MIRA and GIC.

    Earlier, EDC requested for a one-day voluntary trading suspension so that investors would be able to digest the proposed transaction.

    First Gen, a unit of First Philippines Holdings Corp., primarily invests in clean and indigenous fuels including natural gas geothermal energy from stream, hydro-electric, wind and solar power.

    Share.
    loading...
    Loading...

    Please follow our commenting guidelines.

    Leave A Reply

    Please follow our commenting guidelines.