The tender offer will provide Metro Pacific’s minority shareholders with the option to migrate to the debt-free MPIC.
Based on its offer, MPIC will swap one MPIC share and three warrants for every four Metro Pacific shares tendered.
Each warrant will entitle the shareholder to subscribe to one common share in MPIC at P1 per share.
Assuming that all Metro Pacific minority shareholders avail of the offer by MPIC, the outstanding capital stock of MPIC will increase to 1.21 billion common shares.
Upon completion of the tender offer, MPIC will be listed on the stock exchange by way of introduction while Metro Pacific will cease to be traded on the bourse.
MPIC is 76 percent owned by the First Pacific Group of Hong Kong, the parent company of Metro Pacific.
MPIC was formed to continue the expansion of Metro Pacific’s real estate business and raise new capital for planned investments in infrastructure, power generation and consumer foods businesses.
The group is looking to take over the debt-ridden Maynilad Water Services Inc. in tandem with the Consunji family’s DMCI Holdings Inc. It is also eyeing the power plants and other assets of Mirant Phils. Corp. with an estimated value of $3 billion.