THE proposed merger of Metro Pacific Tollways Corp. (MPTC) and the infrastructure unit of San Miguel Corp. (SMC) is expected to be finalized soon with a mandate to pursue a 50-50 percent arrangement, according to a senior executive of MPTC.
Negotiations on synergies in the tollways business between the two conglomerates started last year, after the signing of a joint venture agreement for two major tollway projects in the south –– Cavite-Batangas Expressway (CBEX) and Nasugbu-Bauan Expressway (NBEX).
Arrey Perez, MPTC president and chief executive officer, told reporters the parties intend to close the deal soon, but there is no final date yet as the financial advisor is still studying how they would implement the merger of the two tollways businesses.
But Perez said the mandate is to have a 50-50 arrangement.
“For us, we’re focusing first on the 50-50 balancing of that book, so to ensure that the ideal proportional sharing is achieved,” he said in an interview in Jakarta on November 13.
“The objective of that merger is …to provide a more convenient and safer service to motorists,” Perez said.
The parties operate several tollways in Metro Manila and Luzon: Tarlac-Pangasinan-La Union Expressway, South Luzon Expressway, STAR Tollway, Skyway and the NAIA Expressway for SMC and North Luzon Expressway, Subic-Clark-Tarlac Expressway, Manila-Cavite Expressway, Cavite-Laguna Expressway, NLEX Connector and Cebu-Cordova Link Expressway for MPTC.
Once the merger is finalized, MPTC and SMC will pursue the groundbreaking of the new tollway projects in the south. The two firms agreed to jointly construct, operate and maintain the 88-kilometer CBEX and NBEX.
The 27.06-km CBEX will establish a link connecting the Calax Silang (Aguinaldo) Interchange to Nasugbu, Batangas, while the 60.90-km NBEX will provide connectivity from Nasugbu to Bauan, Batangas. The route will traverse the townships of Silang, Amadeo, Tagaytay, Indang, Mendez and Alfonso in Cavite, before crossing into Nasugbu and finally reaching Bauan.
