Ty family unloads P10-B GT Capital stocks

MANILA, Philippines - GT Capital Holdings Inc. of banking tycoon George S.K. Ty has raised about P10 billion after its largest shareholders unloaded five percent of their stake in the conglomerate.

The firm said yesterday Grand Titan Capital Holdings Inc. and Ty family members together sold five percent or 8.715 million common shares of GT Capital for $222.9 million.

Grand Titan serves as the private holding company representing the equity investments of the Ty family in GT Capital.

GT Capital said the secondary shares were purchased by various institutional investors at P1,130 per share or a 4.2 percent discount to the company’s closing price of P1,180 last Monday.

Domestic institutional investors acquired 32 percent of the total shares sold, while the balance of 68 percent was taken up by foreign institutional investors, the listed firm said.

Following the transaction, Grand Titan and the Ty family still hold majority of GT Capital’s shares at a combined 54.31 percent.

“Use of proceeds include Grand Titan’s participation in the recently announced Metropolitan Bank & Trust Co. stock rights offer, among others. The sale was also in response to several reverse inquiries regarding additional GT Capital shares from investors,” GT Capital said.

Goldman Sachs has been mandated as sole global coordinator and sole international bookrunner while First Metro Investment Corp. served as sole domestic lead manager and domestic bookrunner of the transaction.

GT Capital is one of the largest conglomerates in the country with investments in banking (Metropolitan Bank & Trust Co.), property (Federal Land), power generation (Global Business Power Corp.), automotive assembly and imports (Toyota Motor Philippines), life insurance (Philippine AXA Life Insurance), non-life insurance (Charter Ping An Corp.) and automotive distribution (Toyota Manila Bay Corp. and Toyota Cubao Inc.).

The conglomerate allotted P50 billion for its capital expenditures last year, and is earmarking about the same amount this year.