MANILA, Philippines - JG Summit Holdings Inc., the holding company of the Gokongwei family, on Tuesday said it raised P8.8 billion from an overnight share placement, to partially finance its acquisition of San Miguel Corp.'s 27% stake in Manila Electric Co (Meralco).
In a disclosure to the stock exchange, JG Summit said 220 million shares were sold via an accelerated overnight equity placement at a price of P40 per share through a placement of 98.08 million treasury shares and an additional placement of 121.91 million common shares from selling shareholders.
Proceeds from the offering will partially fund the Meralco acquisition and for general corporate purposes. In October, JG Summit announced it will pay P72 billion ($1.65 billion) for San Miguel's stake in Meralco.
"The transaction was done in order to widen the shareholder base of the Company, and as a
response to strong demand for the Company’s stock," the company said.
CLSA and UBS were joint book runners for the transaction.