Tanduay joins bid for VMC

The bidding for Victorias Milling Corp. (VMC) is shaping up as a battle among the country’s business taipans as Tanduay Holdings Inc., the liquor unit of the Lucio Tan group, submitted its offer to inject fresh capital into the sugar firm to beat yesterday’s deadline.

In a late disclosure to the PSE, Tanduay said it submitted its bid for the P300-million capital infusion needed by VMC for its rehabilitation program.

The Securities and Exchange Commission, which is overseeing VMC’s quasi-reorganization, has set an April 15 deadline for VMC to raise the funding although VMC has requested another 60-day extension to enable it to review the bids and come up with the most advantageous proposal.

Aside from Tanduay, others which had earlier submitted their bids include the JG Summit group of John Gokongwei Jr.; two unindentified parties represented by ATR-Kim Eng Capital and Buenaventura Echauz and Partners, respectively, and Julio Sy’s Bukidnon Sugar Corp. in the form of a loan.

VMC said Andrew Gotianun of the Filinvest group was not among the bidders, but had offered help in raising the fresh capital.

In December 2002, VMC stockholders approved the firm’s quasi-reorganization and elected a new set of directors led by Philippine National Bank executive vice president Omar Byron Mier as chairman.

PNB – majority owned by Tan himself – had the biggest loan exposure among the 27 creditor banks of VMC, followed by the East West Banking Corp. of the the Gotianun group.