Metro Pacific Investments Corp. unit Metro Pacific Tollways Corp. (MPTC) has made an offer to buy out the 3.4 percent government stake in NLEX Corp.
Rogelio Singson, MPTC president and chief executive officer, said the company made an offer to buy the stake owned by the Toll Regulatory Board, Bases Conversion and Development Authority and the national government in NLEX.
“It’s being evaluated now by the government. I understand before I came in, there was already a discussion, and they are waiting for the valuation,” said Singson, who replaced Rodrigo Franco at the helm of MPTC effective this month.
NLEX’s ownership structure comprises the stake of MPTC, through MPT North, at 70.78 percent; BDO Unibank Inc., 11.7 percent stake; Global Fund Holdings, 3.90 percent; EGIS Investment Partner Philippines Inc., 10.16 percent; and the national government’s 3.46 percent stake.
The company made an offer following the Department of Finance’s announcement early this year it is eyeing dispose of the government’s stake in NLEX Corp. by the third quarter of the year.
In the first quarter of 2023, NLEX reported a 31 percent growth in revenues to P5.1 billion from P3.8 billion in the same period last year, due to higher traffic volume and the impact of toll rate adjustments implemented in May and June 2022.
NLEX said all vehicle classes posted double-digit growth in revenues, with Class 1 revenues growing by 21 percent, Class 2 by 40 percent, and Class 3 by 31 percent in the first quarter.
As of March 31, average daily traffic at the North Luzon Expressway reached 320,863 vehicle entries, up by 20 percent from a year ago, while average daily traffic in Subic-Clark-Tarlac Expressway reached 80,261 vehicle entries or 23 percent higher than last year for the same three-month period.
The company grew its net income by 38 percent in the first quarter of 2023 to P2.1 billion as lower financing costs complemented higher toll revenues for the period.
Besides the North Luzon and Subic-Clark-Tarlac expressways, NLEX also operates the recently opened NLEX Connector road that is set to be fully operational by the third quarter of the year.
