MANILA, Philippines - Businessman Manuel V. Pangilinan-led MetroPac Water Investments Corp. (MWIC) will acquire 39% of the Ayala-led bulk water supply project in Cebu.
In a disclosure to the stock exchange, Manila Water said MWIC entered into a subscription agreement for 39% stake of a proposed increased capital stock of P750 million common shares in the consortium for the Cebu project.
The agreement will be finalized after the Securities and Exchange Commission approves the increase in authorized capital.
As a result of the entry of MWIC into the consortium, Manila Water will own 51% while the Gaisano-led Viscal Development Corp. will own 10%.
"The entry of MWIC will enhance the financial and technical capability of the consortium to undertake bulk water supply project," Manila Water said.
Earlier this year, the Manila Water consortium signed a joint venture deal with the Cebu provincial government to develop the first long-term bulk water supply project in the province.
The Cebu bulk water supply project, a public private partnership project, will provide 35 million liters per day of water.