Ayala Corp. said it has agreed to share its voting rights with Enrique Razon’s Trident Water, to form a 51 percent voting interest in Manila Water.
The company said it has approved the grant of proxy rights by unit Philwater Holdings Co., to Trident Water “to enable the latter achieve 51 percent voting interest in Manila Water.”
Philwater owns four billion preferred shares in Manila Water, representing 65.95 percent of voting shares in the company.
“Upon the grant of proxy rights to Trident Water, Ayala’s effective voting interest in Manila
Water will stand at 31.6 percent,” the company said.
“The shareholders’ agreement will become effective after the closing of the subscription agreement, which will occur after certain conditions are met, including required lenders’ consent and regulatory approvals,” Ayala said.
“This arrangement aims to strategically rationalize the economic and voting stakes between Ayala and Trident Water as strategic partners in Manila Water,” it added.
This follows the acquisition of Razon’s Trident Water into Manila Water of a 25 percent stake for P10.7 billion.
