ISOC Holdings Inc., a holding company owned by Megawide Construction Corp. chairman and chief executive Michael Cosiquien and his family, has acquired a 67-percent stake in listed dormant firm AG Finance Inc., paving the way for a possible backdoor listing.
AG Finance in a tender offer said major shareholder RYM Business Management Corp. agreed to sell 175.4 million shares in the company, equivalent to 67 percent, to ISOC at P2.1662 per share, or P380 million.
ISOC will conduct a tender offer to acquire the balance of 33 percent held by minority shareholders in AG Finance.
Formed in April 2017, ISOC is considering transforming AG Finance into a real estate, energy or logistics firm either directly or indirectly operating as a holding company.
ISOC is currently building a 2,412 square-meter cold storage facility.
“However, as of date, while various options are being considered, there are neither concrete plans nor definitive agreements with regard to the said options as the bidder is still studying the structure and options best suitable for its plans,” AG Finance said.
The tender offer is set from Dec. 4, 2017 to Jan. 3, 2018.
Cosiquien is one of the major shareholders of listed construction and engineering company Megawide.
Megawide among the country’s leading contractors for residential, commercial, hotel and mixed-use projects. It has assets in construction, airport, and progressive property development.
RYM Business in 2015 acquired micro-lending AG Finance from the group of Tony King and his family, two years after it was listed at the Philippine Stock Exchange.
AG Finance was established in 2001 as a financing company providing short-term, unsecured credit facilities to permanent rank-and-file employees of medium-sized companies in the country.
In 2003, the company expanded its market to include professionals and skilled workers in North America and Middle East.
Share price of AG Finance fell 8.42 percent to P3.84.