Filoil Gas and Energy Co., one of the leading independent petroleum retailers in the country, has used its parent, MAP 2000 Development Corp. (M2DC), in buying 67 percent of Basic Energy with the purchase of 9.827 billion shares at 28.5 centavos per share as part of the listed firm’s increase in authorized capital stock from P2.5 billion to P5 billion.
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The backdoor listing was made seamlessly due to close ties between Villavicencio and his friend, Oscar “Carey” De Venecia Jr., who is the president and CEO of Basic Energy since 2011.
Villavicencio owns 89 percent of M2DC where he sits as chairman. He is the son of Ramon F. Villavicencio who has been a director of San Miguel Corp. since 2018.
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“M2DC believes that the Company is a perfect vehicle for its investment in the energy sector,” said Basic Energy in its disclosure.
Basic Energy will use Filoil’s cash infusion to bankroll its 20 percent stake in the development of Iriga geothermal project operated by DESCO, Inc.; and 15 percent stake for a 220-megawatt solar power project in Myanmar operated by Thai firms, Vintage EPC Company and VTE International Construction Company (it has an application for a 50-megawatt wind power plant).
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Basic Energy said it would also “look into other projects and investments” in the exploration, development and production of renewable energy.
M2DC was originally a Marikina-based asphalt maker until it was taken over by Villavicencio in 2001. It is primarily engaged in real estate acquisition, development, and management, as well as in investing in real properties and acquiring shares of stocks of viable corporations. It owns 55 percent of Filoil Gas.
