PSE raises stake in PDS to 91%

MANILA, Philippines — The Philippine Stock Exchange Inc. (PSE) has raised its ownership in the Philippine Dealing System Holdings Corp. (PDS) to 91 percent with the acquisition of Tata Consultancy Services Asia Pacific Pte. Ltd.’s stake.

The PSE said that it entered into a share purchase agreement with Tata Consultancy for the purchase of the latter’s 500,000 common shares of stock, equivalent to eight percent of the total issued and outstanding stock of PDS.

Tata Consultancy was able to fulfill the closing conditions for the share purchase agreement on Monday

The shares were acquired at P600 apiece, bringing the PSE’s total purchase price for all the PDS shares bought from various sellers since December last year to P2.65 billion.

Last Friday, the PSE also entered into a share purchase agreement with Citicorp Capital Philippines Inc. for the purchase of 193,999 common shares of stock in PDS, equivalent to 3.10 percent interest.

Citicorp also fulfilled the closing conditions for the acquisition on the same date.

“With the company’s existing 20.98 percent equity interest in PDS and the closing of the transactions with Singapore Exchange Ltd., Whistler Technologies Inc., San Miguel Corp., Golden Astra Capital Inc., Financial Executives Institute of the Philippines Research and Development Foundation, Investment House Association of the Philippines, AIA Philippines Life and General Insurance Co. Inc., Bankers Association of the Philippines and some of its member banks, SSS, Insular Investment Corp., Citicorp and Tata Consultancy, the company will beneficially own 91.04 percent of PDS,” the PSE said.

The acquisitions are part of the PSE’s plan to align the Philippine capital market with other markets globally, which have a single exchange structure for fixed income and equities through the transactions.

The PDS is the holding company that owns the Philippine Dealing and Exchange Corp., the operator of the fixed income exchange. It also owns the Philippine Depository and Trust Corp., which serves as the depository for equities and fixed income securities.