DOE’s Garin bares Maharlika-NGCP deal still in limbo

Energy Secretary Sharon Garin on Friday disclosed that the very first investment activity of Maharlika Investment Corp. (MIC), involving the acquisition of a 20% stake in Synergy Grid and Development Philippines (SGP) which would give the sovereign wealth fund two board seats in the National Grid Corp. of the Philippines (NGCP), is not yet a done deal.

At the sidelines of Stratbase’s Pilipinas Conference in Makati City, Garin told reporters that the MIC informed the Department of Energy (DOE) of the delay in closing its deal with SGP.

In January, MIC announced it is acquiring a 20% stake in SGP, which would grant it two board seats in SGP and another two in NGCP.

The country’s private sector-led transmission grid operator, NGCP, is 60% owned by SGP and 40% owned by State Grid Corp. of China.

“So far, they haven’t signed their deal closing because they're [MIC] still asking for documents from NGCP. So, that's the latest information that was given to us by MIC. Basically, that means the negotiations are still ongoing,” Garin said.

The Energy chief said the transaction involving MIC, SGCP and NGCP could be a done deal “maybe next year.”

“I don’t want to get into who has been doing what and who has not been doing what. But it’s taking a while. Maybe, it’s the negotiations that are taking a while. I’m not sure but it’s between NGCP and MIC,” she said.

“The latest information given to me is that MIC is asking for more documents from NGCP, so they’re still waiting now,” she added. — BAP, GMA Integrated News