The government expects Keppel Philippines Marine Inc. (KPMI) to acquire its stake in a shipyard in Subic. Department of Finance Uncersecretary John Philip Sevilla told reporters that KPMI would “most likely grab” the opportunity of increasing its interest in Subic Shipyard Engineering Inc. by purchasing the government’s 8.76-percent stake in the company. The government’s interest is equivalent to 89.6 million common shares, which it plans to sell at a floor price of P584.771 million.
“We will be surprised if Keppel does not bid on the shares. They wanted to acquire it since last year but it is only now that we are able to put up the shares for disposal,” Sevilla said.
“It would make sense for Keppel to acquire it since it already owns majority of the shares in Subic Shipyard.
Of course, there could be other buyers out there . . . we’ll see how the auction goes,” he added.
Last year, KPMI doubled its stake in Subic Shipyard to 79.1 percent after buying out Magsaysay Shipping Corp., International Container Terminal Services Inc., SM Development Corp. and Insular Life Assurance Co. for a price of P2.8 billion.
While there is already an entity willing to buy the shares, Sevilla said the sale of the government asset would still have to through the bidding process for the sake of transparency and to ensure its interests are protected.
“We will be surprised if Keppel does not bid on the shares. They wanted to acquire it since last year but it is only now that we are able to put up the shares for disposal,” Sevilla said.
“It would make sense for Keppel to acquire it since it already owns majority of the shares in Subic Shipyard.
Of course, there could be other buyers out there . . . we’ll see how the auction goes,” he added.
Last year, KPMI doubled its stake in Subic Shipyard to 79.1 percent after buying out Magsaysay Shipping Corp., International Container Terminal Services Inc., SM Development Corp. and Insular Life Assurance Co. for a price of P2.8 billion.
While there is already an entity willing to buy the shares, Sevilla said the sale of the government asset would still have to through the bidding process for the sake of transparency and to ensure its interests are protected.