MANILA, Philippines - Tycoon Lucio Tan’s son and namesake now owns 80 percent of MRC Allied Inc. after buying out the listed firm’s debt from several financial institutions.
On the sidelines of the company’s annual stockholders meeting yesterday, MRC president and corporate information officer Benjamin Bitanga said the group of Lucio “Bong” Tan Jr. bought out P600 million in debt of the property holding firm in exchange for around 80 percent of MRC.
MRC issued to Menlo Capital Corp., a company 51 percent owned by Tan, a total of 3.625 billion common shares coming from the increase in its authorized capital stock to P3 billion. The new capitalization consists of 15 billion common shares with a par value of 20 centavos.
Bitanga said the new management’s thrust is to acquire operating companies or entities that will give MRC immediate profitability. “Our goal is to post profits by the first quarter of 2011,” he said.