MPIC, GT Capital alliance boosts index

MANILA, Philippines - The stock market got a boost from reports of a strategic alliance between Metro Pacific Investments Corp. and GT Capital as this would benefit index heavyweight Philippine Long Distance Telephone Co.

The benchmark Philippine Stock Exchange index (PSEi) gained 35.30 points or 0.47 percent to finish at 7,411.68 while the broader All Shares index added 18.33 points or 0.41 percent to end at 4,435.19.

Most counters closed in the green except for the industrial index, which declined 70.50 points or 0.60 percent.

“The local index was pushed a bit by PLDT as it will directly benefit from the recently announced MPIC-GTCAP deal,” said Astro del Castillo, managing director at First Grade Finance Inc.

MPIC, the infrastructure conglomerate chaired by Manuel V. Pangilinan has formed a strategic alliance with George Ty-owned GT Capital Holdings Inc., gaining a 56 percent stake in GT Capital’s Global Business Power.

It will also enter as a strategic investor in MPIC, acquiring 15.6 percent of the conglomerate.

PLDT closed at P1,742 per share, up 4.81 percent from Thursday’s closing rate.

“Most investors opted to wait for the release of the US growth data for the first quarter and possible clues for Fed this Friday night. Such news could dictate the direction of the market,” Del Castillo said.

Value turnover reached P8.97 billion.

Show comments