Metro Pacific to Delist as Mitsui, Owners Offer Minority Buyout

First Pacific Co., GT Capital Holdings Inc. and Mitsui & Co. Ltd. on Thursday announced a tender offer to buy shares of Metro Pacific Investments Corp. that could take private the Philippine infrastructure holding company.

(Bloomberg) — First Pacific Co., GT Capital Holdings Inc. and Mitsui & Co. Ltd. on Thursday announced a tender offer to buy shares of Metro Pacific Investments Corp. that could take private the Philippine infrastructure holding company.

The consortium is offering 4.63 pesos ($0.08) a share, a 22% premium over Metro Pacific’s one-year volume-weighted average price and values the company at 133 billion pesos. Metro Pacific, which has investments in power, water and toll roads, went on a voluntary trading suspension following the announcement.

“The bidders feel that the intrinsic value of MPIC’s core investments in infrastructure in the Philippines has not been fully reflected in MPIC’s share price for some time,” Metro Pacific said in a statement.

First Pacific will spend about $90 million to increase its stake by as much as 3.8% while GT Capital will shell out $70 million to raise its holdings by 2.9% to as much as 20%. A joint venture of Mitsui and Japan Overseas Infrastructure Investment Corp. for Transport & Urban Development will buy up to 20%, becoming a shareholder for the first time. A management investment group would buy as much as 10%, according to the bidders. 

GT Capital rose as much as 5.3% in Manila, its sharpest gain since Nov. 25, while Mitsui was down as much as 1% in Tokyo. Metro Pacific shares, which closed Wednesday at a seven-week high of 4.26 pesos, will resume trading Friday. First Pacific, parent of Metro Pacific, fluctuated between gains and losses in Hong Kong.

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