Cosmos proceeds with delisting

MANILA, Philippines – Cosmos Bottling Corp., the manufacturer of mass market soft drink brands such as Cosmos, Pop Cola and Sarsi, is set to bid the Philippine Stock Exchange (PSE) goodbye. 

In a disclosure to the stock exchange on Friday, April 19, Cosmos said it has formally asked the stock exchange to proceed with the delisting as it aims to complete buying out all the minority shareholders by May. 

The trading of Cosmos shares has been suspended since January after the company failed to meet the exchange’s 10% minimum public ownership by December 2012, the deadline. 

Cosmos’ public ownership stands at just 1.79%. On April 17, it conducted a mandatory tender offer for 16.1 million common shares held by the public at an offer price of P1.758 per share. The offer period ends on May 16. 

The tender offer will be conducted through Philippine Bottlers, Inc., which is owned by Coca-Cola Bottlers Philippines, Inc (CCBPI). CCBPI also owns a controlling stake in Cosmos Bottling.

The company listed in the stock exchange on Dec. 13, 1994. It was last traded at P3 apiece on May 23, 2006, when it was suspended because of late filing of reportorial requirements.

Aside from Pop Cola and Sarsi, Cosmos also manufactures and distributes Cheers Lemon and Orange, Jaz Cola and Sparkle which are sold in the Visayas, Sarsi and Diet Sarsi. These are among the lowest priced softdrinks in the country.

Cosmos was the first softdrink manufacturer in the country. It was previously owned by the RFM Corp. of the Concepcion family before it was sold to San Miguel Corp in 2002.

When San Miguel sold its stake in Coca-Cola Bottlers Philippines Inc. to Atlanta-based The Coca-Cola Co. of Atlanta, Cosmos Bottling was included in the deal.

Last January, Mexico’s Coca-Cola FEMSA, Latin America’s biggest coke bottler, has finalized the acquisition of 51% interest in CCBPI for $688.5 million.

Several firms were recently delisted from the PSE also because of the public ownership requirement. Among these were First Metro Investments Corp., Eton Properties Philippines Inc., Chinatrust Phils Commercial Banking Corp., Keppel Philippines Marine Inc., Metro Pacific Tollways Corp. and PLDT Communications and Energy Ventures Inc.

San Miguel Brewery Inc. and San Miguel Properties Inc. are also currently in the process of delisting. – Rappler.com