Ayala Land Buys Mitsubishi’s 40% Stake in PhilEnergy

Manila—(PHStocks)—Ayala Land Inc. (PSE: ALI) has acquired Mitsubishi Corp.’s (MC) 40% equity stake in Philippine Integrated Energy Solutions Inc. (PhilEnergy). This will effectively make PhilEnergy a wholly-owned subsidiary of the company and will further enhance the competitiveness of the company’s commercial properties through a broader adoption of various energy efficiency technologies.

These will include the implementation of District Cooling Systems in more of Ayala Land’s pipeline mixed-use developments, with the goal of lowering energy and water consumption across its portfolio of leasing facilities.

MC is a global business enterprise that invests in, nurtures, and operates business opportunities across various industries and geographies, including environmental infrastructure, industrial finance, energy, metals, machinery, chemicals and food. The decision to divest from PhilEnergy is part of its overall strategy of capital reallocation, especially in consideration of the funding needs of other business opportunities that it wishes to pursue, both in the Philippines and across the region.

The transaction will be executed through a Share Purchase Agreement involving 2,957,200 shares held by MC in PhilEnergy, amounting to a total investment cost of PhP322.3 million, which is equivalent to the par value of the shares plus 40% of PhilEnergy’s audited retained earnings as of 31 December 2013.