FPH firms up control over subsidiary First Gen with acquisition of Php4.7-B additional shares

January 22, 2015 1:04 am 

By Leslie D. Venzon

MANILA, Jan. 21 (PNA) — Lopez-led First Philippine Holdings Corporation (FPH) is acquiring a majority stake in its holding company engaged in power generation and energy-related businesses for Php4.97 billion in an effort to boost its earnings.

In a disclosure to the Philippine Stock Exchange, FPH said it has agreed to subscribe 196,751,000 common shares in First Gen Corp. (First Gen) via a private placement.

The issue price has been set at Php25.25 per share which represents a 2.9-percent discount to the last traded price of Php26.00 per share.

Following the subscription, FPH will maintain its 66.2-percent stake in First Gen's issued and outstanding common stocks.

“The transaction will enable FPH to maintain its ownership stake in First Gen and should result in additional earnings as well… depending on First Gen's performance,” it said.

First Gen is the primary holding company for the power generation and energy related businesses of the Lopez Group. (PNA)

LAM/LDV

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