EEI Corp. said it is selling a 14.346 percent stake for P1.08 billion, the proceeds it will use to refinance obligations in a unit.
The company said it is selling the stake, 148.66 million shares at P7.2348 to Industry Holdings and Development Corp.(IHDC).
“IHDC is owned by the Chua Group, headed by Francis Chua, a successful construction engineer with established business interests in construction supply including pre-cast concrete structures, cement and aggregates, as well as investments in the logistics and real estate sectors,” the company said.
EEI said entry as a strategic partner is in line with its growth plans and restructuring efforts.
EEI said the proceeds will be used to increase the capitalization of a subsidiary by subscribing to preferred shares in ATYC Inc., which will then use it to pay its loans “resulting in lower interest payments and reducing exposure to market risk.”
Prior to the buy-in, IHDC is EEI’s partner in the development of three potential solar farms with an output of 150 megawatts.
