PLDT Announces Results of Tender Offer to Digitel Minority Shareholders

Manila–(PHStocks)–Philippine Long Distance Telephone Company (PLDT, PSE: TEL; NYSE: PHI) today announced the results of its tender offer for the remaining Digital Telecommunications Phils., Inc. (Digitel) common shares held by the public.

A total of 2,888 million shares were tendered by Digitel minority shareholders, representing approximately 94% of the shares held by the public. The minority shareholders were given the option of receiving the payment in cash at P1.6033 per share, or in the form of PLDT common shares valued at P2,500 per share or one PLDT share for every 1,559.28 Digitel shares, except for shareholders residing outside the Philippines who will only be paid in cash.

Of the total shares tendered, 13% or 374 million Digitel shares are to be paid in cash, and 87% or 2,514 million Digitel shares are to be paid in PLDT common shares. This translates to the payment by PLDT of about P600 million in cash and issuance of approximately 1.6  million PLDT common shares. The tendered shares are to be crossed in the Philippine Stock Exchange (PSE) on 24 January 2012 and settlement of both cash and share transactions will be on 27 January 2012.

Following the completion of the tender offer and with the previously disclosed partial conversion of the convertible bonds held by PLDT into 4 billion Digitel shares, PLDT will own 10,165 million  common shares or 98% of the enlarged capital base of Digitel.

PLDT undertook a tender offer to Digitel minority shareholders following its acquisition of a combined equity stake of 51.55% of Digitel from JG Summit Holdings Inc. (PSE: JGS), Express Holdings, Inc., and certain other individuals and corporate stockholders of Digitel.

The tender offer period commenced on 7 December 2011 and was originally scheduled to end on 9 January 2012.  However, to give the Digitel minority shareholders more time to participate in  the tender offer, PLDT filed for and was granted an extension of the tender offer period to 16 January 2012.

With Digitel’s public ownership falling below the minimum 10% required by the PSE, PLDT expects to file a petition for the voluntary delisting of Digitel with the PSE.

Maybank ATR-Kim Eng Securities, Inc. acted as Tender Offer Agent for PLDT.

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2 thoughts on “PLDT Announces Results of Tender Offer to Digitel Minority Shareholders

  1. I am a former PCIBanker and retired October 1998 to take care of my sickly dad. Thru the former PCI Capital Corp. I was offered and bought shares of Digitel Telecom.Phils, Inc. on 11.12.06.I learned about PLDT’s acquisition very recently and I felt sad for I didnot know about the tender offered by PLDT to minority shareholders.Please let me know if I can still claim for the exchange.and what will I do with my stock certificate.

  2. Hi! my grandma is a minority shareholder of Digitel, she’s living in the US now and is unable to monitor / almost forgot of her stocks. It appears that Digitel was already acquired by PLDT, tender was offered but only until January of 2012 which was two years ago. is she still entitled to claim for the exchange? and how should we go about it?

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