The Manila Electric Co. (Meralco) has reduced by half its stake in Indra Philippines Inc. (Indra), a subsidiary of Spain’s Indra Sistemas S.A.
In a disclosure to the Philippine Stock Exchange (PSE) on Thursday, Meralco said it disposed 24.96 percent or 84,012 common shares of stock in Indra to Metro Pacific Investments Corp. (MPIC).
The shares were sold by Meralco to MPIC for P326.52 Million via a share purchase agreement.
Considering that MPIC and Meralco are related entities, the purchase price was determined after a valuation process conducted by Credit Lyonnais Securities Asia as an independent third party appraiser.
Meralco said the sale represents 24.95 percent of the outstanding capital stock of Indra and reduces Meralco’s stake in Indra by half.
The buy in of MPIC will enable Indra to leverage on the combined strengths of its shareholders and expand its business in the country and in Southeast Asia.
A joint venture between Meralco and Indra Sistemas, Indra is a leading Information Technology (IT) service provider in the country.
Indra is offering comprehensive management solutions from consultancy, to project development, integration and implementation, to IT outsourcing and Business Processing Outsourcing (BPO).
Indra has been operating in the Philippines for the past 18 years, providing IT solutions to various businesses and industries with engagements in utilities and telecommunications, financial services and public administration.
MPIC, Meralco, Indra Sistemas S.A. and Indra also entered into a shareholders’ agreement to govern their respective relationships with regards to the management and operation of Indra.