REPUBLIC Cement & Building Materials Inc. (RCBM) has filed a petition to be delisted from the Philippine Stock Exchange (PSE) for failing to meet the 10-percent minimum public ownership requirement imposed by law.
In a disclosure to the exchange on Friday, the company formerly known as Lafarge Republic Inc. said it intends to voluntarily delist its shares from the local bourse starting March 15.
Under the law, corporations are mandated to offer at least 10 percent of their stocks to the public to enable the investing public to take part in the profit-making activities of these entities.
“As of September 15, 2015, the company’s publicly-owned common shares comprise approximately 0.91 percent of its outstanding capital stock,” the company said.
PSE rules provide that companies that do not meet the 10 percent public ownership requirement may petition for voluntary delisting.
“In view of the foregoing, we respectfully request that the shares of RCBM be delisted from the PSE effective March 15, 2016,” the company said.
RCBM makes, develops, and sells cement and building materials and has plants in Norzagaray, Bulacan; Teresa, Rizal; and Taysan, Batangas.
In September, AEV-CRH Holdings Inc., a joint venture formed by conglomerate Aboitiz Equity Ventures Inc. and Irish cement maker CRH International, acquired a 99.09 percent stake in Lafarge Republic.
In compliance with the Corporations Code, AEV-CRH made a tender offer to the remaining shareholders of Lafarge Republic after it earlier acquired 88.54 percent interest in the cement firm for P53.1 billion.
In line with the joint venture’s plan to make infrastructure development one of its main businesses, AEV has said that it will pour in capital of P24 billion into its cement venture.
In this connection, AEV entered into a $400 million loan agreement with The Bank of Tokyo-Mitsubishi UFJ Ltd. in August last year to pay for the acquisition of the various assets of Lafarge.