The Lopezes’ main holding firm is set to return to full private control in a bid to consolidate ownership and simplify corporate structure.
Lopez Holdings, which trades under the ticker LPZ, proposed that its delisting from the Philippine Stock Exchange (PSE) would be executed via a tender offer by First Philippine Holdings Corporation (FPH), which would acquire LPZ shares at Php3.85 each. The tender offer would run from January 22 to February 19, 2021.
Based on its disclosure to the PSE, FPH intends to acquire 20 to 45.56% of LPZ’s total issued and outstanding common shares from all its shareholders, excluding those owned by its ultimate parent entity, Lopez Inc., which agreed not to tender its common shares.
LPZ is the parent firm of FPH, Energy Development Corporation (EDC), and ABS-CBN. FPH is the parent firm of First Gen Corporation, which trades under the FGEN ticker. Both First Gen and EDC are heavily involved in the renewable energy business. FPH also partly owns the Manila Electric Company (MERALCO), which the Lopezes used to control.
EDC delisted from the PSE in 2018, while FPH and FGEN will remain listed.
Back in October, Eugenio “Gabby” Lopez III resigned as Vice Chairman and Director of Lopez Holdings together with his uncle Oscar, who also left his post as Chairman Emeritus and Director. Before that, Gabby resigned as Director of First Gen and Chairman Emeritus of ABS-CBN in September after the House of Representatives denied the broadcast giant a fresh 25-year franchise.
Photo from Lopez Holdings Facebook page.