MANILA, Philippines – Berjaya Philippines Inc. (PSE:BCOR) clarifies the news published by Manila Standard on its website entitled “Berjaya plans to list auto unit in PH” dated December 9, 2016 at 9:35 P.M.
According to the disclosure of Berjaya to the Philippine Stock Exchange (PSE), the company clarifies that the stockholders of Bermaz Auto Philippines Inc. (BAP) made an action concerning sellout of new and secondary shares. Although the company is aware of the purported listing, the board has not taken any deed on the probability of BAP’s acquirement of its shares.
Berjaya claims that it will disclose necessary information regarding the listing once it is filed. This submission of tender is relative to the firm’s decision to sell any of its stakes in BAP. At present, it is still early to end up with a decision for there are no details or price finalized yet.
According to the electronically published article on The Standard, the Malaysian conglomerate holding Berjaya Philippines plans to list an automotive distribution firm in the country in the first half next year.
Berjaya Auto Berhad claimed in a disclosure to Bursa Malaysia that its 60.4 percent owned arm, BAP, is projected to sell its 155 million common shares. The amount of interests accounts for 15.6 percent of the issued and compensated capital of the firm. Each share would cost P1 each piece.
The shares are inclusive of 83.43 million new shares and 71.57 million secondary interests. These shares are owned by numerous selling companies, such as Berjaya Philippines Inc. and Bermaz Motor International Ltd.
The plans revealed that the general public and institutional buyers are prospect purchasers of the shares, accounting for 70 percent of the interests. The rest or 30 percent of the shares will be sold to small local investors and market participants.
The shareholders’ value in BAP is anticipated to be unlocked by the planned tender. This would also exhibit sheer measurement of Mazda automotive sector in the country. Through the selloff, BAP would be able to penetrate the Philippines’ equity capital market. As a result, it will also gain flexible capital management, improved corporate status, and recognition among others.
The offering’s net proceeds will bear on the building of body and paint facility and warehouse. Financials for Mazda showrooms and satellite outlets would also be crafted. Lastly, the funds would carry on the automotive repair and motor services training facility.
In the next three months, BAP claimed that it will submit its initial public offering (IPO) application.
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