NEGROS Navigation Co (Nenaco) has completed its acquisition of the country’s largest shipping firm, Aboitiz Transport System (ATS).
Nenaco and ATS completed the sale agreement on December 28 for a purchase price of P1.8813 per share or a total price of about P4.28 billion.
The 1,889,489,607 common shares of Aboitiz Equity Ventures (AEV) in ATS were bought for P3.55 billion and that of Aboitiz and Company’s (ACO) 390,322,384 common shares for P734 million.
AEV and ACO’s shareholdings in ATS represented 77.24% and 15.96%, respectively, of the outstanding common shares of ATS.
Nenaco previously secured approval from the Securities and Exchange Commission to proceed with the crossing of the 2,279,811,991 common shares of ATS provided it will make a mandatory tender offer of the shares owned by the public.
The sale includes ATS brand names SuperFerry, SuperCat, and Cebu Ferries, and the movement of cargoes operating under the brand name 2GO as well as shares of ATS in its joint venture with Maersk in MCC Transport.
Nenaco is financing the acquisition with funds from China-ASEAN Marine B.V. Inc in the Netherlands, a wholly owned subsidiary of China-ASEAN Investment Cooperation Fund (CAF). CAF is a private equity fund sponsored by the China Export-Import Bank. It targets investment opportunities in the 10 ASEAN countries, focusing on infrastructure, energy and natural resources.
Nenaco will likely keep the status quo at ATS, with both firms operating separately but with sharing port facilities. Nenaco operates eight vessels and serves 13 ports of call; ATS has 18 vessels and 19 ports of call.
