Melco Crown moves to buy out minority Manchester owners

Rappler.com
Macau-based casino giant Melco Crown Entertainment Ltd., the partner of Sy-led Belle Corp. in a Manila-based casino-entertainment project, will conduct a mandatory tender offer to minority owners of Manchester International

MANILA, Philippines – Macau-based casino giant Melco Crown Entertainment Ltd., the partner of Sy-led Belle Corp. in a Manila-based casino-entertainment project, moves to buy out the minority shareholders of a listed firm

On Wednesday, December 26, Manchester International Holdings Inc. (MIH) disclosed to the stock exchange that Melco’s Philippine units will conduct a mandatory tender offer from January 11 to February 11.

This comes after Melco’s MCE (Philippines) Investments Ltd. and MCE (Philippines) Investments No. 2 Corp. bought a combined 93.06% of the listed firm for P1.259 billion.

“The bidders intend to acquire the public share, or all the remaining 17,426,395 Class A shares and 11,156,841 Class B shares… which comprise approximately 6.94% of the total outstanding common shares of MIH,” Manchester, a former pharmaceutical firm, disclosed.

The Class A shares will be bought at P3.1491 apiece, while Class B shares at P3.5498 apiece. Settlement date has been slated on February 18.

Manchester is widely considered as Melco’s corporate vehicle for backdoor listing in the Philippines, and may be tapped to operate Melco’s US$2 billion casino venture at the PAGCOR’s Entertainment City in Parañaque City.

Manchester is among the 12 listed firms that face trading suspension and higher transaction costs by January 2013 for non-compliance with the Philippine Stock Exchange’s rule that listed firms must be at least 10% owned by the public. – Rappler.com