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MANILA, Philippines – Diversified conglomerate San Miguel Corp. is not acquiring the stake of tycoon Lucio Tan’s group in legacy carrier Philippine Airlines (PAL).
In a disclosure on Monday, June 10, San Miguel doused cold water over reports during the weekend that it is buying Tan’s remaining stakes in PAL.
“We advise that the Company (San Miguel) is not acquiring the 51% majority interest of the LT Group in PAL and PAL Holdings Inc., respectively,” San Miguel wrote.
“We have been advised by the LT Group that the latter is in talks with a group of investors who have expressed an interest to purchase such majority interest of the LT Group in PAL and PHI,” it added.
San Miguel acquired a 49% minority but controlling stake in the airline last April 2012, following financial and labor troubles that hounded Asia’s first commercial airline for years.
Erroneous reports on the sale of the stake in PAL to San Miguel came after the Lucio Tan group finally decided not to include PAL under the recently formed holding firm LT Group.
Under the LT Group are consumer goods and services, including Tanduay Distillers, Inc. (100% owned), Fortune Tobacco Corporation (82.3% owned), Asia Brewery (99.9% owned) and Eton Properties Philippines (99.3% owned).
Trading of PAL Holdings remains suspended after it failed to meet the Philippine Stock Exchanges’ requirement of at least 10% public ownership by December 2012.
PAL Holdings is among the 5 companies facing possible delisting by July 1 if it remains non-compliant wit the PSE’s minimum public float requirement. – Rappler.com
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