Metro Pacific raises P6.12B for infra projects

ABS-CBN News

Posted at Jan 23 2013 10:50 AM | Updated as of Jan 23 2013 06:50 PM

MANILA, Philippines - Metro Pacific Investments Corporation on Wednesday said it raised P6.12 billion  from an overnight sale, which it will use to fund its water, tollroads and hospital businesses, as well as its bids for airports and light rail projects in the Philippines. 

In a statement, MPIC said it priced the 1.33 billion shares at P 4.60 each in the placement managed by CLSA 

Limited and UBS AG. The price is at a discount of 2.86 % to MPIC’s 30 day volume weighted average share price as of Tuesday. 

MPIC said the overnight placement generated strong interest from institutional investors in Asia especially in the Philippines, as well as Europe and U.S. 

Metro Pacific Holdings, MPIC's major shareholder, did not subscribe to the placement. Its interest in MPIC will be reduced to 55.95% from 58.97%. 

"We are continuing to work toward our proposed NLEX-SLEX Connector Project on which in principle agreement 

was reached with DOTC and we will be bidding on further road projects in the south of Metro Manila. In addition we have in front of  us some significant new investments in water businesses outside the Maynilad concession as well as rapidly increasing capex for sewage coverage in Maynilad itself. This fund raising will help support these expansions," Jose Ma. K. Lim, MPIC president and CEO, said in a statement.

MPIC chairman Manuel V. Pangilinan said the company is positioning itself to bid for several public private partnership infrastructure projects. 

"We are beginning to see some momentum in the Government’s PPP initiative... Bidding processes including prequalification requirements are already running for LRT1 and Cebu-Mactan airport and we believe Government will soon commence bidding on the CALA Expressway. MPIC is now well placed to participate in these projects and other infrastructure expansion," Pangilinan said.