Conglomerate SM Investments Corp. said Tuesday the Securities and Exchange Commission approved its acquisition of Philippine Geothermal Production Inc. via a P15.76-billion share swap deal.
SMIC said in a disclosure to the stock exchange it received SEC’s approval to acquire 81 percent of related parties in Allfirst Equity Holdings Inc. in exchange for SMIC shares. Allfirst is the holding company for PGPI, which operates the Tiwi and Mak-Ban steam fields.
SMIC said the transaction will bring its ownership in PGPC to 100 percent.
“The acquisition of PGPC is sizeable, accretive to our shareholders and a strong strategic fit with our portfolio of investments in high-growth sectors in the Philippines,” said SMIC president and chief executive Frederic Dybuncio.
The transaction involved the issuance of 17.44 million new shares to Allfirst, or equivalent to 1.4 percent of shares outstanding in SMIC.