The Cebu-based Aboitiz family has agreed to sell its shipping business to Kuwaiti-backed rival Negros Navigation Co. Inc. (Nenaco).
In a disclosure to the Philippine Stock Exchange (PSE), the holding firm Aboitiz Equity Ventures (AEV) said its board had unanimously agreed to the sale of Aboitiz Transport Systems Corp. (ATS). AEV, together with sister firm Aboitiz & Co. (ACO), owns around 92 percent of ATS.
“AEV expects to receive approximately $81 million” from the sale, the company said.
“The agreement also requires Nenaco to make a tender offer for all ATS shares owned by the public at the same purchase price to be paid to AEV and ACO,” the disclosure said.
Nenaco is a Philippine-registered company engaged in domestic shipping. It expects to fund the ATS purchase with equity investments from China-ASEAN Marine B.V., a Netherlands incorporated company which is a wholly owned subsidiary of China-ASEAN Investment Cooperation Fund (CAF).
CAF is a private equity fund sponsored by the China Export-Import Bank.
In a disclosure to the Philippine Stock Exchange (PSE), the holding firm Aboitiz Equity Ventures (AEV) said its board had unanimously agreed to the sale of Aboitiz Transport Systems Corp. (ATS). AEV, together with sister firm Aboitiz & Co. (ACO), owns around 92 percent of ATS.
“AEV expects to receive approximately $81 million” from the sale, the company said.
“The agreement also requires Nenaco to make a tender offer for all ATS shares owned by the public at the same purchase price to be paid to AEV and ACO,” the disclosure said.
Nenaco is a Philippine-registered company engaged in domestic shipping. It expects to fund the ATS purchase with equity investments from China-ASEAN Marine B.V., a Netherlands incorporated company which is a wholly owned subsidiary of China-ASEAN Investment Cooperation Fund (CAF).
CAF is a private equity fund sponsored by the China Export-Import Bank.