MPIC hikes capital to P30 B

MANILA, Philippines - Metro Pacific Investments Corp. (MPIC), the local flagship of Hong Kong-based First Pacific Co. Ltd., has obtained the Securities and Exchange Commission’s nod to raise its capitalization to P30.05 billion from P24.24 billion.

The new capital consists of 28.5 billion common shares with a par value of P1, five billion preferred A shares and one billion preferred B shares.

MPIC issued to Metro Pacific Holdings a total of 2.03 billion common shares out of the increase in its authorized capital. These shares were issued to MPHI as a result of the conversion by MPHI of the P6.6 billion convertible bonds issued by MPIC to MPHI on March 30, 2010.

MPIC reported a 26 percent growth in its first quarter net income to P820 million, mainly driven by the strong showing of its water and electricity units.

Consolidated core net income stood at P1.13 billion, up 44 percent from P788 million the previous year due to increase in ownership in Meralco from 14.5 percent as of end-March 2010 to 17.4 percent in the same period this year as well as increased volumes and tariff for Maynilad Water Services Inc. and the inclusion of income from Riverside and Lourdes Hospital.

Maynilad contributed P707 million or 45 percent of the total core net income while Meralco chipped in P437 million or 28 percent. Metro Pacific Tollways added P353 million or 23 percent.

The hospital group, on the other hand,, pumped in P64 million or four percent of total.

Consolidated operating revenues climbed 17 percent to P5.05 billion compared with P4.31 billion. Earnings per share rose to P0.041 from P0.032.

MPIC president president and chief executive officer Jose Ma, K. Lim said the company remains confident about its prospects for the rest of the year in spite of a challenging environment resulting from surging fuel prices and continued unrest in the Middle East, and a slowing US economy.