SEC OKs merger of 2GO, Nenaco

The Securities and Exchange Commission (SEC) has approved the merger of 2GO Group Inc. and Negros Navigation Co. Inc. (Nenaco) with 2GO as the surviving entity.

The merger shall be effective Jan. 1, 2019 or on the first day of the month following the date when the certificate of merger shall have been issued and released by the SEC.

2GO, the listed logistics company now chaired by Davaobased businessman Dennis Uy, said all assets of Nenaco including its shares in 2GO would become assets of 2GO.

“As a consequence of this merger and as previously disclosed, each stockholder of Nenaco shall receive common shares in 2GO using the exchange or swap ratio of 0.26 share in 2GO for every one Nenaco share,” Nenaco said.

The estimated public float of 2GO will be 11.91 percent upon completion of the merger.

“This is in line with 2GO’s efforts to streamline operations, reduce costs, and increase shareholder value,” 2Go said.

In 2016, Uy’s Udenna Investments gained entry in 2GO Group Inc. after obtaining the shares from Netherlands-based KGL Investment B.V. which owns about 60 percent of KGLI-NM, which in turn controls Nenaco.

Nenaco owns 88.31 percent of 2GO.

Last May, the Philippine Competition Commission (PCC) approved Udenna’s acquisition of KGL Investment .

Aside from 2GO, Udenna also has other businesses such as petroleum and oil through Phoenix Petroleum, shipping and logistics through Chelsea Logistics and 2GO, real estate through Udenna Development, education through Enderun Colleges and convenience stores through FamilyMart, among others.