ICTSI completes acquisition of 35% stake in MNHPI

Listed International Container Terminal Services Inc. (ICTSI) has completed its acquisition of a 35 percent stake in Manila North Harbor Port Inc. (MNHPI).

In a disclosure to the Philippine Stock Exchange (PSE) yesterday, ICTSI said it has “complied with all the conditions precedent in relation to the share purchase agreement for the purchase of 10,449,000 MNHPI shares from Petron Corp., representing 34.83 percent of the total issued and outstanding shares of MNHPI.”

Petron said in a separate disclosure to the PSE, the purchase price for the transaction was paid yesterday.

ICTSI and Petron signed the share purchase agreement for the sale of the 35 percent stake in MNHPI at P167.48 apiece or a total consideration of P1.75 billion in September.

Among the conditions for the transaction to be completed is the approval of the Philippine Ports Authority (PPA), as well as other approvals required under law. ICTSI said it has obtained the PPA’s approval for the transaction.

ICTSI holds the concession for the operation of the Manila International Container Terminal.

Petron said its exit from MNHPI would allow it to focus on its main business. MNHPI holds the 25-year concession to operate and develop the seaport terminal handling domestic cargo in Manila.

Under the concession, it has committed to invest P14.5 billion.

When MNHPI took over the operations of the Manila North Harbor from PPA in 2010, the joint venture was composed of the Romero family’s Harbor Centre Port Terminal Inc. with a 65 percent stake and Metro Pacific Investments Corp. (MPIC) holding a 35 percent stake.

In 2011, MPIC pulled out of the joint venture due to control issues and sold its stake to Petron.

Established in 1988, ICTSI is engaged in the business of port operations, management and development.

ICTSI’s portfolio of terminals and projects spans developed and emerging market economies in the Asia Pacific, the Americas, Europe, Middle East and Africa.