The Group of Dr. Lucio C. Tan formally sealed the deal with San Miguel Corporation (SMC) to buy back Philippine Airlines (PAL), SMC and PAL Holdings, Inc. disclosed to the Philippine Stock Exchange (PSE) Tuesday morning.
In their disclosures, the companies said that, “The two biggest stockholders of Philippine Airlines – San Miguel Corporation (SMC) and the Group of Dr. Lucio C. Tan – signed a joint agreement whereby SMC expressed willingness to sell its 49 percent stake to the Group of Dr. Lucio C. Tan, and the latter has expressed willingness to buy the said 49 percent stake, subject to the fulfillment of certain conditions.”
SMC has acquired 49 percent share in PAL since 2012 and Tan has kept 51 percent share on the country’s flag carrier.
With the agreement, Tan will regain full control on PAL.
In second quarter of this year, the national flag carrier’s parent company — PAL Holdings — posted a net income of Php1.5 billion which reversed the Php1.1 billion net loss in the same period last year. PNA