Phoenix Petroleum, 2GO at odds over buy-in
2GO Group Inc. maintained that management remains intact despite reports that a new group has invested in the company.
In a press conference, 2GO corporate secretary Lawrence Tanlu said while the group has been made aware of the entry of a new investor, corporate records show there has been no change in ownership.
“Our stock and transfer book, our corporate records will show that our structure is stable, solid and there has been no change recorded in our books. So if there are any prospective partners or investors who want to come in, I believe management will welcome that provided that all investments are compliant with laws,” he said.
Last month, Udenna Corp., the parent firm of Phoenix Petroleum Corp., announced it acquired a stake in Negros Navigation Co. (Nenaco), which controls the 2GO Group.
Udenna bought 100 percent of KGL Investments B.V. ( KGLI BV) which has been renamed to Udenna Investments BV.
Prior to the exercise of the call option, KGLI BV already owned approximately 40 percent of the voting stock and 80 percent beneficial interest in KGLI-NM, a Philippine company which holds about 60 percent of the voting stock and 40 percent of Nenaco.
Nenaco, in turn, owns 88 percent of 2GO Group.
As a result, Udenna Investments indirectly has 21 percent voting and 28 percent beneficial interests in 2GO.
Dennis Uy, who owns and controls Udenna, said the acquisition was made in line with the goal of investing in related and/ or allied businesses.
Uy said 2GO was an attractive investment given its continued growth.
Udenna has business interests in the distribution and retailing of petroleum products, commercial shipping, ship management, logistics, financial services, environmental services and property development.
Its unit Phoenix Petroleum is involved in trading refined petroleum products and lubricants, operation of oil depots and storage facilities, as well as shipping/logistics and allied services.
“Our records do not show purchase of Phoenix or any other corporation that are very interested in buying into 2GO or any of its parents or subsidiaries,” Tanlu said.
He said there have been previous discussions with Uy as well as numerous interested investors, but no new investments or buy-ins have been made.
To protect his interest, Uy said he filed a lawsuit through company Udenna Investments against 2GO’s owners before the Manila Regional Trial Court.
“Essentially, the complaint just seeks to enforce the right of Udenna Investments as shareholder to participate in the management of KGLI-NM and enjoin Negros Holdings Management Corp./KGLI-NM from excluding Udenna Investments in participating in such management,” he said.