Lopez-led Red Vulcan highest bidder for PNOC-EDC shares

With a bid price of P58.5 billion, Lopez-led consortium Red Vulcan Holdings Corp., was declared the highest bidder for the government's 60-percent stake in PNOC-Energy Development Corp. “We are declaring Red Vulcan as the highest bidder," said Antonio Cailao, president of PNOC. Giles B. Puno, senior vice-president and chief finance officer of the First Gen, who led the Red Vulcan consortium, said they are happy with the results of the bidding. He said financing for the PNOC-EDC shares will come from internally generated funds and bank financing. “We’ve lined up financing already. We will use internally generated funds and bank borrowings," Puno told reporters shortly after the announcement of the highest bidder. Red Vulcan Holdings Corp., and its partners Spalmare Holdings B.V. and Prime terracotta Holdings Corp., according to Puno will jointly raise the P58 billion offer price. Filinvest Development Corp and its partner International Power PLC and International Power Masinloc Holdings Inc., tendered the second highest bid with P48.528 billion. Third-highest bidder is Panasia Energy Holdings- the merger between San Miguel Energy Corp and Beleggingsmaatchappij Broeam B.V. with a P39-billion offer. Aboitiz Power Corp. submitted the lowest bid of P33.165 billion. Part of the proceeds to be raised from the privatization would be used to bridge the government's budget deficit. - GMANews.TV