MANILA, Philippines - Metro Pacific Water Investments Corp (MWIC)., a unit of Pangilinan-led Metro Pacific Investments Corp. (MPIC), has signed an agreement for the acquisition of a 39 percent stake of the Ayala-led Manila Water Consortium for a bulk water supply project in Cebu.
In a disclosure to the Philippine Stock Exchange yesterday, Ayala-controlled Manila Water Company Inc. (MWCI) said MWIC entered into a subscription agreement with the consortium to acquire a 39 percent equity ownership of the proposed increased capital stock of P750 million shares with a par value of P1.00 per share.
“The agreement will be consumated once the Securities and Exhange Commission approves the increase in authorized capital,†MWCI said in the disclosure.
Upon entry of MWIC into the consortium, MWCI will hold 51 percent ownership of the water consortium, while the Gaisano group’s Viscal Development Corp. will own the remaining 10 percent.
“The entry of Metro Pacific is expected to enhance the financial and technical capability of the consortium to undertake bulk water supply projects,†MWCI said in the disclosure.
The Cebu Bulk Water Supply Project is expected to provide 35 million liters per day of bulk water and address the deteriorating groundwater condition in the province.