JG Summit buys Meralco shares from San Miguel for P72-B

JG Summit Holdings Inc. is buying the entire stake of San Miguel Group in Manila Electric Company (Meralco) for P72 billion, the Gokongwei-led holding company said in a disclosure Tuesday.

The entire stake of San Miguel Group in Meralco amounts to 27 percent of the company's total outstanding shares, JG Summit said.

The company will finance the acquisition with a combination of debt and equity capital.

Credit Suisse is the sole financial adviser for transaction which is still subject to the completion of certain mutually agreed conditions to closing.

On Monday, JG Summit said it agreed to buy the shareholdings of San Miguel Corporation, San Miguel Pure Foods Company Inc. and SMC Global Power Holdings Inc. in the power utility.  http://www.gmanetwork.com/news/story/328755/economy/companies/jg-summit-to-buy-san-miguel-shares-in-meralco

Last July, SMC raised nearly P17.4 billion from a placement for 64,333,330 Meralco common shares at P270 per share. Manuel V. Pangilinan's Metro Pacific Investment Corp. bought 10 million shares from the sale.
 
SMC earlier said it is looking at alternatives to dispose its 32.8 percent shareholdings in Meralco. -  Danessa Rivera/VS, GMA News