Coal Asia shareholders sell 72% stake to Pure Energy, 2 water firms
Pure Energy Holdings Corp. (PEHC), backed by businessman Dexter Tiu, and Quadwater Corp. are set to secure a majority stake in listed Coal Asia Holdings for P220.9 million.
In a disclosure on Monday, Coal Asia said five of its stockholders signed a share purchase agreement with PEHC, Pure Water Corp. (Pure) and Quadwater. This is for the sale and purchase of 28.67 billion common shares of the company.
That translates to 71.68 percent of the group’s total issued and outstanding capital stock.
Breaking down, PEHC will get 12.48 percent with the acquisition of 4.99 billion shares.
Both Pure and Quadwater, meanwhile, will secure 29.60 percent each. The three firms are acquiring a total of about 23.68 billion shares in Coal Asia. They expect to close the deal before the year ends.
Coal Asia did not disclose details on the allocation of the proceeds from the transaction.
“The transaction provides the buyers with the opportunity to acquire a significant interest in the company,” said PEHC president Eric Peter Roxas. He is also one of the selling shareholders.
“It also facilitates the reallocation of shareholdings among the parties in a manner that supports their respective investment objectives,” Roxas added.
Common directors
Pure is a subsidiary of PEHC. The two companies and Coal Asia have interlocking directors, namely Tiu, Roxas, and Gertim Chuahiong.
Quadwater, on the other hand, is not affiliated with either PEHC or Pure. However, Pure and Quadwater have interests in Tubig Pilipinas Group Inc.
PEHC has a presence in the renewable energy space through Repower Energy Development Corp. (REDC). It has mini-hydropower projects clustered in Laguna, Quezon, Camarines Sur, Bukidnon and other provinces under development. These have a combined capacity of 124 megawatts.
PEHC also leads NexGen Energy Corp., a listed clean power producer, focused on the solar and wind business.
Earlier this year, the company said its four wind projects worth P300 billion secured a “green lane” status, allowing the firm to avoid bureaucratic bottlenecks.
