Razon takes helm of Manila Water

MANILA, Philippines — Ports tycoon Enrique Razon is now chairman, president and CEO of listed Manila Water Co., officially taking over the east zone water concessionaire after acquiring a controlling stake from the Ayala Group in 2020.

Yesterday’s board and management changes came after Manila Water finally obtained regulatory approvals which cleared Razon’s entry into the company.

With this, Fernando Zobel has stepped down as chairman but remains director of the board while his elder brother Jaime Augusto Zobel de Ayala has fully exited the company as vice chairman and director of the board.

During yesterday’s meeting, Manila Water president Rene Almendras also stepped down but will remain as non-executive director representing the Ayala Group.

Razon brought his own team including nephew Christian Gonzalez and ICTSI CFO Rafael Consing.

At the company’s virtual annual stockholders meeting last month, new independent directors were elected – Cesar Buenaventura, Octavio Victor Espiritu and Eric Ramon Recto.

In line with this, three former independent directors particularly Jose Cuisia Jr. Jaime Laya and Oscar Reyes have exited the company’s board.

Buenaventura also serves as an independent director in the board of Razon-led International Container Terminal Services Inc, while Espiritu also previously served as an independent director of the firm.

In February 2020, Razon’s Prime Metroline Holdings Inc. now known as Prime Strategic Holdings Inc., on behalf of its wholly owned subsidiary Trident Water Company Holdings Inc.  signed a subscription agreement with Manila Water for 820 million common shares at a subscription price of P13 per share.

Through the agreement, the Ayala Group granted proxy rights to Razon, allowing him to achieve a 51 percent voting interest in Manila Water.

In February 2021, Ayala Corp. said its unit PhilWater Holdings Co. Inc. and Razon’s Trident Water Company Holdings Inc. recently executed a share purchase agreement allowing the latter to acquire 2.69 million preferred shares in the east zone concessionaire.