In a bid to boost its power generation portfolio, a business unit of the country’s largest power distributor Manila Electric Co. (Meralco) has sealed a deal to acquire a stake in Metrobank Group’s power unit, Global Business Power Corp. (GBPC).
A disclosure to the Philippine Stock Exchange showed on Wednesday that Meralco PowerGen Corp., a wholly owned subsidiary of the listed utility firm Meralco, has entered into a share sale and purchase agreement (SSPA) with First Metro Investment Corp. for the acquisition by MGen of FMIC’s 20-percent stake in GBPC.
MGen President Oscar Reyes said that the signing of the SSPA represents a strategic investment for the company he leads.
“It is also a strategic alliance that will combine the expertise of both MGen and Global Power to help ensure a stable supply of reliable and cost-competitive power for the country,” he added.
For his part, GBPC Chairman Francisco Sebastian said that as a strategic partner, MGen extends the reach of Global Power and deepens its commitment in the power sector, enabling it to address the growing power generation requirements within and outside the communities it presently serves.
Signatories to the SSPA included Reyes, MGen Senior Vice President for Commercial Development Angelito Lantin, Sebastian and FMIC President Roberto Juanchito Dispo.
The signing was witnessed by MGen Chairman Manuel Pangilinan and the Metrobank Group Chairman George S.K. Ty.
Madelaine B. Miraflor