MPIC ready to close extended tender offer

MANILA, Philippines — Pangilinan-led tollways and infrastructure conglomerate Metro Pacific Investments Corp. (MPIC) is all set to close its extended tender offer tomorrow, Sept.19, with no expected hitches, industry sources said.

Some of those who missed the original Sept. 7 close of the offer took the opportunity to tender, moving MPIC a step closer to fulfilling its plan to voluntarily delist from the Philippine Stock Exchange (PSE), sources from brokerage houses said.

At least 5.4 billion MPIC common shares have been tendered as of the latest tender report of MPIC. This is equivalent to 18.7 percent of MPIC’s total issued and outstanding listed shares, according to the latest filing of MPIC. Combined with the excluded shares and the non-public shares, this is equivalent to 96.87 percent of MPIC’s total issued and outstanding listed shares.

As such, when the tendered shares are accepted and crossed on Sept. 26, MPIC’s majority shareholders or the bidders expect MPIC’s public float to fall below 10 percent and pave the way for MPIC’s voluntary delisting.

MPIC originally set Sept. 7 as the deadline of the tender offer period, but decided to extend it until tomorrow to accommodate shareholders who missed the deadline.

“The decision of the bidders to extend the tender offer period is to provide the remaining MPIC shareholders who missed the deadline on Sept. 7, more time to fully appreciate the recent developments on the delisting of MPIC and make a decision to participate in the tender offer,” MPIC said.

With the new timetable, the settlement date will be on Sept. 28.

The majority shareholders that took MPIC private are First Pacific Co. Ltd. through its affiliate, Metro Pacific Holdings Inc., GT Capital Holdings Inc., a consortium including Mitsui & Co., Ltd. and MIG Holdings Inc. (MIG).

State-owned pension fund Government Service Insurance System (GSIS), for its part, decided to remain as a shareholder of the company.

It increased its stake to approximately 11.98 percent of the total outstanding common shares of MPIC after it acquired 2.5 billion MPIC shares from Aug. 23 to Sept. 4 as it wants to remain a shareholder. It is also eyeing one board seat in the company, sources earlier told The STAR.

MPIC offered a revised final tender offer price of P5.20 per share from P4.63 per share previously, which is independent of any interim dividend that may be declared by the company for the first half of 2023.

MPIC said shareholders of the company’s common shares would receive both the interim dividend from MPIC and the tender offer price from the bidders if the shareholders tender their shares during the offer period.

“Any interim dividend declared will be paid by MPIC at a payment date decided by the company to shareholders of MPIC at the applicable declared record date,” it also said.

Unicapital Inc., an independent financial adviser duly accredited by the PSE and the Securities and Exchange Commission, conducted a valuation study on the shares of the company in accordance with the Guidelines on the Conduct of Valuation and Issuance of a Fairness Opinion and issued a valuation report and fairness opinion last June.

Results of Unicapital’s study showed MPIC’s indicative valuation ranges between P3.37 and P5.10 per share.