MANILA, Philippines – Businessman Dennis Uy's Phoenix Petroleum Philippines Incorporated approved the acquisition of Petronas Energy Philippines Incorporated (PEPI) and Duta Incorporated for $126.1 million (P6.40 billion).
But before Phoenix can implement the $126.1-million acquisition deals, the oil refiner will need the approval of the Philippine Competition Commission (PCC) – the country's antitrust regulator.
"Today, the company's Board of Directors has approved and authorized the execution of two agreements for the acquisition of PEPI and Duta subject to PCC approval," the company said in a disclosure.
Last May 24, a memorandum of understanding was signed by Phoenix and PDB (Netherlands) BV, a wholly-owned subsidiary of Petronas Dagangan Berhad, in relation to the planned 100% share acquisition of PEPI and its affiliate, Duta.
"The Board of Directors of Phoenix wishes to announce that on July 5, 2017, it has approved and authorized the execution of two agreements for the purchase of 100% shares owned by PDB (Netherlands) in PEPI and 100% shares in Duta for a total purchase price of $126.1 million, subject to price adjustment," the Uy-led company said.
Duta is 40% owned by PDB Netherlands and 60% owned by Alsons Consolidated Resources Incorporated and Masaligan Incorporated.
PEPI, meanwhile, is engaged in the liquefied petroleum gas (LPG) business.
Phoenix said the acquisition "broadens its product portfolio and petroleum presence across the country, with cross selling opportunities in fuel and LPG to consumers and corporates." – Rappler.com
$1 = P50.75