LMG Corp., a trader of chemical product, is being taken over by Maxwealth Infinity Holdings Corp. after it bought out a majority of the shareholders. It plans launching a tender offer on the balance of the shares in the days ahead.
Maxwealth is buying 67 percent of LMG shares at P3.1 each for a total of P402 million.
Trading of LMG shares was suspended on Wednesday. The shares last sold at P3.35 apiece Tuesday.
The sellers include Ann Marrieta L. Sytin, who owns 98.58 million shares worth P305.61 million, Robinson W. Siao’s 29 million shares worth another P89.9 million and Value Quest Securities Corp.’s 2.09 million shares worth P6.48 million.
“The sellers decided to sell their shares in the corporation to pursue different business goals, which are not aligned with the objectives of a publicly listed company,” LMG said in its disclosure.
The sale triggers a tender offer for the rest of the shares held by other holders. This will also result in the backdoor listing of Maxwealth into the Philippine Stock Exchange.
“The parties intend to conduct the tender offer and close the transaction within the next sixty days,” it said.
Closing and full payment of shares are subject to the buyer’s successful conduct and completion of a tender offer of the shares held by the other shareholders of the corporation.
Maxwealth is chaired by Alfonso Huang, an honorary consul of Guinea-Bissau to the Philippines and 2022 Philippine Charity Ambassador.
Maxwealth’s investments include interests in various financial and information technology companies.
LMG said Maxwell plans to invest in leisure and resorts, hotels, restaurants, and construction consistent with its plan of diversifying its portfolio across various industries.
Maxwealth ventured last year into the financial technology space in the Philippines.
