Menlo to keep control of MRC

MANILA, Philippines – Menlo Capital Corp. will retain its controlling interest in MRC Allied Inc. even as negotiations between MRC and a group of Australian investors for the development of the Surigao Mines are being conducted.

In a disclosure yesterday to the Philippine Stock Exchange, MRC Allied said Menlo confirmed its intention to retain its 87 percent interest in MRC.

Menlo is 60 percent owned by Mariano Osmeña and 10 percent owned by Lucio Tan Jr., while the rest is held by small shareholders.

Osmeña acquired control of Menlo after Tan’s shares in the company were diluted following a 500-million share offering.

MRC Allied had earlier disclosed to the PSE that it has received a firm proposal from a Sydney-based Australian company to form a $200-million joint venture company to develop its 3,718-hectare property in Marihatag, Surigao del Sur.

The new company plans to do an initial public offering in the Australian Stock Exchange with the Surigao tenement as its primary asset.