Davao-based tycoon Dennis Uy himself disclosed that his Udenna subsidiaries have a $191 million capitalization fund, contradicting allegations that Udenna has a negative working capital of $100 million when they acquired 90% of the Malampaya gas field.
Uy, according to a Manila Bulletin report, wrote an “emotionally charged” letter to the Board of Trustees of the Makati Business Club (MBC), of which he is a member, defending capitalization of UC Malampaya Philippines — which bought the 45% share of Chevron — and Malampaya Energy XP — which purchased the 45% of Shell Philippines Exploration B.V.
The documents of both Udenna units, Uy said, were certified at the Philippine consulate in Singapore.
While Uy — a major financier of Pres. Rodrigo Duterte in the 2016 elections — admitted that Udenna was hit hard by the COVID-19 pandemic, he clarified that his company’s financing was “independent of Malampaya.”
The MBC and other business groups recently called on the Senate to further investigate Udenna’s Malampaya acquisitions and hold the government accountable for its failure to exercise its right of first refusal.
Uy — who is also facing graft charges together with Energy Sec. Alfonso Cusi over the Malampaya purchases — said he expected the MBC to treat him “with fairness and justice,” but felt otherwise, leading him to break his silence on the issue.
Photo from Udenna website.