MPIC lifts Meralco stake to 49.4% after ₱12.4 billion deal
San Miguel Global Power plans to direct proceeds from the share sale towards renewable energy projects.
Metro Pacific Investments Corp. (MPIC), led by Manuel V. Pangilinan, has completed a ₱12.4 billion purchase of Meralco shares from San Miguel Global Power Holdings Corp. (SMGP), raising its holding in the electricity utility from 47.46 per cent to 49.4 per cent.
The purchase covered 21.4 million common shares, representing 1.9 per cent of Meralco, at ₱580.99 per share. It was executed on October 8 through a special block sale on the Philippine Stock Exchange. MPIC used both internally generated cash and financing to pay for the acquisition.
SMGP, San Miguel Corp.’s power subsidiary, said it expects the disposal to realise value from its longstanding investment. It plans to put the proceeds into renewable energy projects as part of a strategy to allocate resources to businesses where it plays a more direct operational role.
Meralco supplies electricity to more than eight million customers across Metro Manila and surrounding provinces. According to the Energy Regulatory Commission, SMGP ranks second among Philippine power producers, with a 19.62 per cent market share, or about 5.53 million kilowatts of capacity.
