LT Group raises stake in PNB

MANILA, Philippines - The investment holding firm of tycoon Lucio Tan has raised its stake in Philippine National Bank (PNB).

In a disclosure, LT Group Inc. said the Securities and Exchange Commission approved the increase in authorized capital stock of 10 companies.

“The increase in authorized capital stock of the companies allowed LT Group to acquire additional indirect control of PNB in the aggregate of 11.27 percent,” the company said.

Hence, its indirect voting control in PNB rose to 59.88 percent from 48.61 percent.

The corporate regulator approved the capital increase of All Seasons Realty Corp., Society Holdings Corp., Profound Holdings Inc., Total Holdings Corp., Kentwood Development Corp., Fil-Care Holdings Inc., Safeway Holdings & Equities Inc., Purple Crystal Holdings Inc., Dynaworld Holdings Inc. and La Vida Development Corp.

Early this month, LT Group pledged its participation in the P15-billion fundraising of PNB.

“The board of LT Group approved and confirmed the corporation’s firm commitment to subscribe to at least 97.8 million shares of PNB through the corporation’s holding companies pursuant to the bank’s planned stock rights offering,” LT Group said.

PNB is planning to generate P15 billion in fresh capital through a share sale to existing stockholders “to strengthen its capital base as the bank seeks to expand and deepen its lending capabilities.”

In January to September, attributable net income of LT Group declined 17.6 percent to P6.85 billion in January to September from the P8.3 billion a year ago. Total revenues slipped 1.23 percent to P43.38 billion from P43.92 billion in the same period last year.

In terms of its operating units, PNB contributed P3.01 billion in net income.

LT Group of magnate Lucio Tan is into beer (Asia Brewery Inc.), distillery (Tanduay Distillers Inc.), real estate (Eton Properties Philippines Inc.), banking and tobacco (PMFTC Inc.).