Lucio Tan holding firm excludes PAL, PAL Express
MANILA, Philippines - The holding firm of tycoon Lucio Tan folded tobacco, brewery and real estate companies into a listed liquor firm, but excluded the airline businesses.
In a disclosure to the stock exchange on Wednesday, October 31, Tanduay Holdings Inc. said its board approved the delay in the consolidation of legacy carrier Philippine Airlines (PAL) and its budget unit, PAL Express, where the group has respective 49.84% and 50.97% stakes in.
The airlines are now controlled by diversified conglomerate San Miguel Corp., which acquired minority stakes in April.
Soon to be renamed LT Group Inc. to reflect the ongoing consolidation of the key Tan-led businesses, liquor unit Tanduay will fold in the following 100% owned companies:
- Fortune Tobacco Corp
- Asia Brewery, Inc.
- Paramount LandEquities Inc.
- Saturn Holdings, Inc.
Proceeds of the P5-billion equity infusion of Tanduay majority shareholder Tangent Holdings Corp was previously approved to acquire the above companies' shares.
The group is still awaiting regulatory approvals for the Tan-led banks: Philippine National Bank (PNB, 34.79%-owned) and Allied Bank Corp (27.62%-owned). The two banks are due to merge as soon as the corporate regulator gives its nod following a favorable court decision on disputed shares in the banks.
The Tan group provided the following unaudited and interim financial statements as of September 30 to reflect the performance of the consolidated businesses: