June 16, 2013

MVP not keen on SMC’s Meralco shares

The group of Manuel V. Pangilinan is comfortable with its shareholding in the country’s largest power distributor Manila Electric Co. (Meralco) and is not likely to buy out San Miguel Corp.’s (SMC) assets in the firm.

Should the group decide to acquire more Meralco shares, it would not be to the point where their total stake would go over 51%. A mandatory tender offer is triggered when  an investor accumulates more than 51% stake in a public company.

SMC owns around 36% of Meralco, making it one of the top shareholders in the company. Beacon Electric Asset Holdings, Inc., a subsidiary of Pangilinan-led Metro Pacific Investments Corp., controls nearly 50% of Meralco. - WealthSec