MANILA, Philippines - San Miguel Brewery Inc. (SMB) has completed buying back publicly-held shares as part of its delisting from the local bourse.
Most of the remaining shareholders agreed to unload their shares at a discount, the brewery firm of San Miguel Corp. (SMC) said.
“A total of 51.425 million common shares of SMB, representing 0.3337 percent of the total outstanding shares of SMB, were tendered and accepted at the price of P20 per share,†SMB said.
Its shares will be delisted from the Philippine Stock Exchange effective May 15.
In February, the brewery firm secured the board of directors’ approval of a voluntary delisting and tender offer.
SMB sought to buy back 94.239 million shares or 0.61 percent of its outstanding shares for a total transaction value of P1.88 billion.
The tender began on March 4 and ended on April 3.
Shares of thinly traded SMB were last traded on Dec. 28, 2012 at P29.30 apiece. Its shares reached a 52-week high at P34.60 and a 52-week low at P22 each.
In a series of meetings last year, parent firm SMC failed to urge partner Kirin Brewery Co. to sell shares to increase the public float to the minimum 10 percent required by the PSE.
Kirin, Japan’s largest beer company, owns 48.39 percent of SMB while a 51-percent stake belongs to SMC, which wants to retain its control of the brewer.
SMB is the company behind beer brands like San Miguel Pale Pilsen, Red Horse, San Mig Light and Gold Eagle. Consolidated revenues of SMB rose five percent to P75.6 billion due to higher selling prices and a slight growth in sales volume at 224.8 million cases.
In early January, the PSE has suspended the trading of seven firms, including SMPI and SMB, because of their failure to meet the required minimum public float.
The minimum public float rule was intended to provide a fair and efficient facility for price discovery and ensure that sufficient liquidity exists.