International Container Terminal Services, Inc. (ICTSI) will be increasing its stake to 50% in Habor Centre Port Terminal, Inc.’s Manila North Harbor Philippines, Inc. (MNHPI) after both parties agreed to the transaction last Wednesday, Sept. 5.
In a disclosure to the bourse on Thursday, Sept. 6, the ICTSI said it signed a share purchase agreement to acquire 4.55 million shares in MNHPI, or another 15.17% of total stocks for P910 million. This would increase ICTSI’s shareholdings in MNHPI from 34.83% to 50%.
However, “the completion of the Share Purchase Agreement remains subject to a number of conditions precedent,” the company said.
The Razon-led business said that it will be able to “contribute its experience, expertise and state-of the-art technology and infrastructure to enhance the operational efficiency of the domestic terminal in the Port of Manila and improve the traffic condition in Metro Manila.”
Likewise, the “transaction will further improve the returns of ICTSI’s shareholders through this value-accretive acquisition,” the company added.
Prior to this recent acquisition, ICTSI has acquired 34.8% of the shares from Petron Corp. late last year as the latter moves to focus on its core business. — Anna Gabriela A. Mogato