Agreement requires San Miguel to buy Petron for P32.2 b
01/19/2009 | 10:13 AM
MANILA, Philippines - San Miguel will be required to pay at least P32.2 billion for a controlling stake in Petron Corp., the Philippines’ largest oil refiner.
In a disclosure, San Miguel said under an agreement, it will pay SEA Refinery Holdings B.V., a unit of British investment fund Ashmore Group, P32.17 billion for the value of Petron shares (at P6.859 per share for about 4.7-billion stocks) in SEA Refinery Corp. (SRC), the vehicle used by SEA B.V., to purchase Petron shares, and P40 million as paid-up capital of SEA BV in SRC.
Petron shares were acquired by SEA BV at P6.85 each. Last Friday, Petron shares closed at P4.80.
The agreement also stated that San Miguel will assume any liability and expenses that SRC incurred in the acquisition of Petron.
The amount was on top of the $10 million that San Miguel had to pay for it to gain the right to acquire Petron shares in a period of two years from December 24, 2008 from SEA BV.
San Miguel added that any dividends declared by Petron on the option shares shall accrue in favor of SRC.
Petron has earlier disclosed to the public that Eduardo Cojuangco Jr, San Miguel chairman; Ramon Ang, San Miguel vice chairman, and lawyer Estelito Mendoza had each bought 1,000 Petron shares.
The three were elected in the oil firm’s board following the purchase of the shares.
Ang has been elected as Petron chairman and chief executive officer, while Cojuangco and Mendoza as directors. - GMANews.TV
In a disclosure, San Miguel said under an agreement, it will pay SEA Refinery Holdings B.V., a unit of British investment fund Ashmore Group, P32.17 billion for the value of Petron shares (at P6.859 per share for about 4.7-billion stocks) in SEA Refinery Corp. (SRC), the vehicle used by SEA B.V., to purchase Petron shares, and P40 million as paid-up capital of SEA BV in SRC.
Petron shares were acquired by SEA BV at P6.85 each. Last Friday, Petron shares closed at P4.80.
The agreement also stated that San Miguel will assume any liability and expenses that SRC incurred in the acquisition of Petron.
The amount was on top of the $10 million that San Miguel had to pay for it to gain the right to acquire Petron shares in a period of two years from December 24, 2008 from SEA BV.
San Miguel added that any dividends declared by Petron on the option shares shall accrue in favor of SRC.
Petron has earlier disclosed to the public that Eduardo Cojuangco Jr, San Miguel chairman; Ramon Ang, San Miguel vice chairman, and lawyer Estelito Mendoza had each bought 1,000 Petron shares.
The three were elected in the oil firm’s board following the purchase of the shares.
Ang has been elected as Petron chairman and chief executive officer, while Cojuangco and Mendoza as directors. - GMANews.TV
