THE Philippine Stock Exchange (PSE) has failed to acquire 100 percent of the Philippine Dealing System Holdings Corp. (PDS) as two banks did not join the final closing transactions on Tuesday.
In a disclosure, the exchange said it now has a 78.33 percent stake in PDS after the deal was closed.
The PSE acquired an additional 3.61 million PDS shares at P600 per share, for a total of P2.16 billion, equivalent to a 57.71 percent equity in the PDS.
PDS is the country’s sole depository for scripless securities, as well as the only operator of fixed-income securities trading.
In its disclosure, the PSE said the Bankers Association of the Philippines (BAP), acting on its behalf and the BAP Data Exchange and certain member-banks, fulfilled the closing conditions for the sale of 1.17 million shares in PDS.
“Included in this figure are 28,792 common shares in PDS held by one of BAP’s member banks which subsequently acceded to the terms of the SPA (share purchase agreement),” the exchange said.
On the other hand, two of BAP’s member banks, one holding 12,500 common shares in PDS and another holding 5,000 common shares did not proceed with the closing transaction. The two banks were not disclosed.
The other equity holders that tendered their PDS shares in favor of the PSE Singapore Exchange Limited, Whistler Technologies Services Inc., San Miguel Corporation Golden Astra Capital Inc., FINEX Foundation, Investments House Association of the Philippines, Mizuho Bank, and AIA Philippines Life and General Insurance Company.
The transaction is subject to customary post-closing conditions.
The PSE has long planned to acquire all of PDS and consolidate both operations to align the Philippine capital market with other markets globally which operate a single exchange platform for fixed income and equities.
