The Lotte Group of South Korea said its offer to buy the publicly-owned shares in Pepsi Cola Products Philippines Inc. (PCPPI) at P1.95 is a 12.27 percent premium over the six-month volume weighted average price (VWAP) and a 6.14 percent premium over the three-month VWAP of PCPPI’s common shares.
The Korean group made the offer through Lotte Chilsung Beverage Co. Ltd.
“Lotte Chilsung views the tender offer as an opportunity for shareholders to sell their shares and potentially realize their investment. For its part, Lotte Chilsung is undertaking the tender offer as a strategic initiative that will enable it to acquire significant economic interest in PCPPI,” the group said.
Lotte said it has no plans to delist PCPPI from the local bourse.
It added that it currently has no plans relating to PCPPI that would result in any merger, reorganization or liquidation of the company, or that would result in a material change to the company’s corporate structure or business.
In December, the Korea-based firm announced its intent through a tender offer. The offer extends to all shareholders other than Lotte Corp. and the members of the board of directors with respect to their qualifying common shares and the officers of the company.
The tender offer period started last Dec. 12, 2019.It will run until Jan. 16, 2020.