The Consunji group is selling a small portion of its stake at Cemex Holdings Philippines to ensure that its equity structure complies with the minimum public float of 10 percent as required.
DMCI chief finance officer and incoming Cemex president Herbert Consunji said the family’s private holding firm Dacon Corp. is committed to buy all minority shares that will be tendered.
“Dacon will sell a small stake in CHP so that it will remain compliant with the minimum public ownership requirement of the Philippine Stock Exchange. We will find a buyer,” Consunji said.
According to him, the planned sale will ensure stock trading is not suspended and the shares consequently delisted as its public float component falls below the minimum 10 percent following the tender offer.
The Consunji group will undertake a mandatory tender offer on the remaining CHP shares held by minority stockholders that could push its public float component below the 10-percent Philippine Stock Exchange requirement.
DMCI Holdings Inc., the listed holding company of the Consunji group, expects to close the USD 305.6 million Cemex acquisition by end-November.
The Consunji group earlier said the acquisition is anchored on the fairness opinion of auditors at PWC Philippines/Isla Lipana and Co.
“At least we now have Philippine Competition Commission approval,” Consunji said.
Consunji said DMCI will keep Cemex a listed entity even after the acquisition.
“It’s better they remain listed,” he said.
Also, the Consunji group will keep most of the employees as they believe in local talent.
The DMCI in April offered to acquire the country’s fourth-largest cement manufacturer from its Mexico-based parent Cemex SAB de CV.
The acquisition requires DMCI to issue a similar tender to shareholders of the remaining Cemex shares.
In August, DMCI announced plans to issue P10 billion preferred shares to parent firm Dacon to raise funds for the acquisition.
