THE MAJORITY BLOC of Lopez, Inc. said it has withdrawn its Feb. 27 board resolution removing Federico “Piki” Lopez as president and chief executive officer (CEO), opening the door for renewed discussions within the Lopez family.
In a statement on Thursday, the group, which said it controls a 71% stake in Lopez, Inc., said the move would allow family members to reassess their positions and explore options that would cause less harm to all parties.
“Harm has been done to everybody,” it said. “Reputational damage is there,” it added, noting that the dispute had placed the family and its businesses under public scrutiny.
The majority bloc said the withdrawal would allow discussions to continue while the case remains pending before the Court of Appeals, where a petition involving an injunction has been filed.
It added that it is open to a cease-fire if there is a reasonable prospect of a fair compromise and access to information, but warned it is prepared to intensify efforts to protect its legal and financial interests if talks fail.
The dispute began after the board voted 5-2 on Feb. 27 to remove Mr. Lopez as president and CEO, with him and his brother Benjamin Lopez voting against the move.
The majority bloc said the company’s by-laws allow the removal of officers by majority vote, with or without cause.
It alleged that Mr. Lopez, through First Gen Corp., entered into P125 billion worth of agreements without authorization from majority shareholders. — Alexandria Grace C. Magno
