MANILA, June 19 (PNA) — The Aboitiz Power Corporation (AP) bought Aboitiz Land’s Batangas-based LiMa Utilities Corporation (LUC) for Php1.3 billion based on a disclosure with the Philippine Stock Exchange (PSE) Thursday.
On Thursday, AP, another subsidiary of Aboitiz Equity Ventures Inc(AEV) bought the electrical distribution utility property of Aboitiz Land Inc. for Php1.3 billion at Php166.21 per share. The transaction was noted to have been paid in cash.
The disclosure also stated that the sale was approved on May 19, 2014, by AP’s Board of Directors.
The disclosure also stated that the purchase of LUC is part of AP’s enhancement on the Enerzone brand that currently has three ventures such as the Subic Enerzone Corporation, Hedcor Inc and Balamban Enerzone Corporation.
The agreed value of the sale was computed through discounted cash flows method, along with the trading and transaction multiple analysis (the current market value as compared with other similar assets).
LUC has a substation that is connected to the Batangas City grid through a 69 kilovolt (KV) transmission line of the National Power Corporation (NAPOCOR). (PNA)