A consortium led by leading global infrastructure asset mananager Macquarie Infrastructure and Real Assets and Singapore state firm GIC Private Ltd. has made a tender offer to acquire up to 31.7 percent of Energy Development Corp.
The offer involves 6.6 billion to 8.9 billion EDC shares priced at P7.25 apiece or a 22.3 percent premium to the firm’s last 30-day volume weighted average market price.
Lopez-owned First Gen Corp. has agreed to sell 10.6 percent of its stake in EDC to Philippines Renewable Energy Holdings Corp. The sale is estimated to fetch around P14 billion for First Gen.
First Gen, the country’s largest producer of clean energy, will retain a 60 percent voting stake in EDC.
The tender offer period will run from Aug.10 to Sept. 18. It will lead to the eventual delisting of EDC from the stock exchange.
?First Gen welcomes this tender offer from committed long-term renewable energy investors, MIRA and GIC. This is a clear vote of confidence in EDC?s clean energy platform from two of the world?s largest infrastructure investors. This will most definitely be a transformational period in the company?s 40-year history,? said First Gen and EDC chairman Federico R. Lopez
MIRA senior managing director David Luboff said the “tender offer presents an opportunity for EDC shareholders to realize their investment at a premium to the current market price.