AYALA Corp. (AC) said yesterday it has already paid the first tranche of its $237-million investment in Myanmar’s Yoma Group.
In a disclosure to the stock exchange Tuesday, the listed conglomerate said it has concluded its $108.6 million worth acquisition of outstanding shares in Singapore-listed Yoma Strategic Holdings, Inc. (YSH).
“(AC and YSH) have closed the first tranche of the placement of shares, with AC having been allotted shares equivalent to 14.9% of the outstanding shares of YSH and having paid the price therefore. The Singapore Exchange has approved the listing of the shares allotted to AC,” it said.
AC is acquiring a total of 474,680,104 shares in YSH priced at $0.3265 each, which represents 20% of the company.
The concluded deal between AC and YSH is the first of two tranches. The second tranche will be worth $46.4 million to represent 5.1% of the YSH’s outstanding shares.
AC said the purchases of YSH shares are subject to the approval of the Singapore Securities Exchange Trading Ltd.
Aside from the deals with YSH, AC’s investment in the Yoma Group also involves acquiring a 20% stake in First Myanmar Investment Public Co. Ltd. (FMI), a publicly listed firm in Myanmar.
The company said the investment in FMI will be in the form of an $82.5-million convertible loan, where VIP Infrastructure Holdings Pte. Ltd. will be its investing entity. The deal will be subject to the approval of the Central Bank of Myanmar.
When AC announced its venture into the businesses of Burmese tycoon Serge Pun last month, it said the transaction is part of its “strategy to pursue international expansion opportunistically.”
“As a diversified conglomerate in Myanmar with overlapping interests in real estate, power, financial services, automotive, and health care, YSH and FMI (Yoma Group) will serve as Ayala’s main platform for strategic investments in Myanmar,” it said.
Shares in AC at the local bourse shed 9.50 points or 1.13% to close at P831.50 each on Tuesday. — Denise A. Valdez