Razon owns P50B in Bloomberry but is not selling

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Emeterio Sd. Perez

Emeterio Sd. Perez

Bloomberry Resorts Corp. may be different from some other listed companies when it comes to disclosures. Recently, it posted on the website of the Philippine Stock Exchange a complete ownership filing that should answer the questions that ordinary public investors would have asked. It should be appreciated for said posting, showing “who-owns-what-and-how-many shares” in Bloomberry.

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Holdings of Bloomberry insiders are well-accounted for that a curious small investor in the company’s shares would readily know how rich they are.

An example: Perhaps, the public know that Jon Ramon M. Aboitiz holds 13.5 million Bloomberry shares, or 0.12 percent, of which he directly owns 9.9 million shares. At P6.59 per share, the stock’s closing price on Aug. 26, his paper wealth in Bloomberry would be P89 million.

Aboitiz is chairman of the board of Aboitiz Equity Ventures Inc. (AEV) that his family controls. He owns a total of 129.2 million AEV shares, or 2.33 percent. At P53.60 closing price on Tuesday, his holdings had a market value of P6.9 billion.

Does Aboitiz’s ownership in the two companies illustrate an alliance of capital among Big Business? Perhaps this may not necessarily be true because the public have yet to find businessman Enrique K. Razon Jr. among the significant stockholders of Aboitiz Equity.

Majority stockholder
Razon is the majority stockholder of Bloomberry and International Container Terminal Services Inc. (ICTSI). In the former, he directly owns 31.2 million shares, or 0.28 percent. Bloomberry’s disclosure clearly showed Razon’s total paper wealth computed on his direct holdings and indirect holdings.

If the public were limited only to the disclosure of individual ownerships, they would have had difficulty in associating the corporate stockholders to anyone. Bloomberry has nothing to hide by listing three such owners who hold 7.55 billion shares, or 68.5 percent. These are Prime Metroline Holdings Inc. which owns 6.4 billion shares, or 58.1 percent; Quasar Holdings Inc., which owns 921.2 million shares, or 8.35 percent; and Falcon Investco Holdings Inc., which owns 225 million shares, or 2 percent.

Had Bloomberry concluded its ownership filing with the list only of its corporate stockholders, the public, including Due Diligencer, would have to do some research at the Securities and Exchange Commission. As outsiders, if the public avails themselves of the SEC’s online services, they would have to either pay more than P1,000 for documents such as general information sheets and audited financial statements. They would have to pay more for the convenience of waiting for three days to be delivered to them the documents they requested at their given address.

If, however, the public could afford to pay only P500 for the corporate files of three companies, they could set up an appointment with SEC people. This second research option may take time but is less expensive.

But in the case of Bloomberry, the public need not spend even a single centavo for SEC research. As a matter of fact, its ownership filing identified the sole owner of Primetime, Quasar and Falcon by a simple explanatory note under “Other Relevant Information.”

Lawyer Silverio Benny Tan, who filed the ownership report for Bloomberry as of July 15, 2015, identified Razon as “the indirect owner of 7.55 billion Bloomberry shares, or 68.49 percent that the company’s three corporate stockholders hold.”

Including his personal holdings, Razon’s ownership of 7.6 billion shares in Bloomberry would be equal to 68.7 percent. At P6.59 per share, his paper wealth amounts to P49.98 billion.

Correction, please
Poch Villaluna, a reader of The Manila Times, is correct in disputing my computations on the P202-B one-day loss of First Pacific Co. in Philex. As he had written, “the difference between the 52-week high of 11.66 and 52-week low of 4.64 is 7.02. If First Pacific owns 1.5B shares, then that translates to a drop in the market value of their holdings in PX to P10.53B over a one-year period.

“The drop “can’t be called a P202-B one day loss,” Mr. Villaluna wrote, because “the two prices compared are one year apart.”

I stand corrected, and I thank Villaluna for noticing a very big blunder on my part which I may not be able to fully explain. I can only apologize to him and other readers of The Manila Times who may have been misled by my “P202-billion” reporting error.

esdperez@gmail.com

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