October 08, 2014

AEV parent sells 10m AP common shares

Aboitiz Power Corp (AP) announced today that Abotiz & Co Inc, the parent company of AEV, sold 10m common shares of AP, representing 6% of ACO’s total shareholding in AP. The shares were sold for P407.50m or P40.75/sh. Post transaction, ACO’s ownership in AP is reduced to 146.47m common shares, equivalent to 2% of AP’s total outstanding common shares. AEV remains as AP’s largest shareholder with a 77% stake.

BSP approves Union Bank’s Tier 2 offering: In a disclosure to the Exchange yesterday, Union Bank of the Philippines (UBP) said that it received central bank (BSP) approval for the issuance of up to P10b in unsecured subordinated notes qualifying as Tier 2 capital under Basel 3. The notes will have a maturity of 10 years and 3 months from the issue date, witha fixed rate to be determined in reference to the 5-year PDST-R2 benchmark on pricing date.

Like other local Basel 3 Tier 2 instruments that were issued, the notes will have a loss absorption or write-down mechanism which will be triggered at the point of non-viability, as determined by the BSP. - WealthSec