Manila Water declares cash dividends for H2

MANILA, Philippines - Ayala-led Manila Water Company, Inc. has declared cash dividends for the second semester of the year as approved by its board.

In a regulatory filing yesterday, the company said its board approved on Oct. 7, cash dividends of P0.4031 per share on outstanding common shares and P0.0403 on outstanding participating preferred shares.

The dividends would be paid on Nov. 5, 2014 to stockholders on record as of Oct. 21, 2014.

The company also approved the additional capital infusion of P35 million to subsidiary Manila Water Total Solutions Corporation to finance additional working capital needs. This is on top of the infusion made in June.

The capital infusion would be invested in wholly-owned subsidiary Manila Water Philippine Ventures, Inc. – formerly AAA Water Corporation – which it would, in turn, invest in Manila Water Total Solutions.

Manila Water in June transferred shares of its various units under AAA Water Corporation. These include Clark Water Corporation, Boracay Island Water Company, Inc. Manila Water Consortium Inc. and Manila Water Total Solutions.

The board also approved in June the subscription of Manila Water to additional shares of Manila Water Total Solutions amounting to P25 million. 

Manila Water also announced yesterday that its board has approved the opening of a $60 million stand by letter of credit with Bank of Tokyo-Mitsubishi  UFJ, Ltd., in relation to the performance bond required under the company’s concession agreement with the Metropolitan Waterworks and Sewerage System (MWSS) for the period covering Jan. 1, 2015 up to Dec. 31, 2016.

The company derives most of its income from its Metro Manila east zone concession area that covers parts of Quezon City and Makati, the southeastern parts of Manila, Taguig, Pateros, Marikina, Pasig, San Juan, Mandalu-yong, and Rizal province.