Lucio Tan group consolidates PNB stake
MANILA, Philippines – The group of tycoon Lucio Tan has started to consolidate its stake in Philippine National Bank (PNB) following the completion of the PNB-Allied Bank merger.
In a disclosure to the Philippine Stock Exchange, LT Group Inc., formerly Tanduay Holdings Inc., said it acquired 7 firms that own 22.72% of PNB, the surviving entity.
The 7 firms include:
- Donfar Management Ltd.
- Fast Return Enterprises Ltd.
- Fragile Touch Investments Ltd.
- Mavelstone International Ltd.
- Uttermost Success Ltd.
- True Success Profits Ltd.
- Key Landmark Investments Ltd.
The purchase “effectively sets the consolidation of the banks in the LT Group,” said the company.
The company said it would also acquire indirect stakes in PNB through investments in 4 more companies that own 7.77% of the bank.
These firms include:
- Merit Holdings & Equities Corp.
- Ivory Holdings Corp.
- Leadway Holdings Inc.
- Dunmore Development Corp.
To accommodate LT Group's investment, the companies separately filed for increase in capital. Their applications are pending with the Securities and Exchange Commission.
LT Group is currently in the process of acquiring stakes in various Tan-owned firms including Asia Brewery, Fortune Tobacco, Paramount Land Equities, and Saturn Land Holdings Inc. The company was also supposed to buy 49.84% of Philippine Airlines and 50.97% of Air Philippines, but it deferred the purchase.
PNB and Allied Bank were both controlled by Tan. The banks officially merged on Monday, February 11, via a share swap deal. – Rappler.com