THE Philippine Stock Exchange (PSE) announced on Tuesday that Robinsons Retails Holdings, Inc. (RRHI) would replace Energy Development Corporation (EDC) on its benchmark index effectiveSeptember 28, 2017.
“In view of the results of the tender offer exercise for Energy Development Corporation (EDC) shares, EDC will be removed from the PSEi and will be replaced by Robinsons Retail Holdings, Inc (RRHI) effective Thursday, September 28, 2017,” the PSE said.
“The index constituent update is based on the requirements for the inclusion in the PSEi under the Exchange’s policy on Index management,” it added.
On Friday, Lopez family-owned EDC filed an amended tender offer report to the Securities and Exchange Commission and to the PSE after verifying that the total number of shares tendered exceeded the maximum number of common shares the bidder sought to purchase.
EDC said that 15 percent of the total number of tendered common shares will be returned to the relevant tendering shareholders, and decreased its free float to 11 percent.
A company must have at least 12 percent free float to be a constituent in the main index.
Gokongwei-owned RRHI currently has a 38 percent float level.