Ex-Pancake House owner goes into sugar milling
MANILA, Philippines – The group of former Pancake House Inc. owner Martin Lorenzo and businessman Fernando Cojuangco is buying shares of sugar milling firm Central Azucarera de Tarlac Inc. (CAT).
In a disclosure to the stock exchange on Monday, CAT said it is selling all its shares to Lorenzo and Cojuangco’s CAT Resource & Asset Holdings Inc. (CRAHI) for P1.8 billion.
CRAHI, which has an authorized capital stock of P80 million, will conduct a tender offer to buy the remaining shares in the company as required under the Securities Regulation Code.
The P91 per share acquisition price represented an 8.3 percent premium over CAT's closing price of P84 on Friday.
CRAHI was incorporated by Lorenzo, Cojuancgo, Vigor Mendoza, Nicanor Lizares and Fernan Victor Lukban, according to records of the Securities and Exchange Commission.
CAT’s major shareholders are Don Pedro Cojuangco’s family, Jose Cojuangco Jr.’s family, the Reyes family, the Teopaco family, the Aquino family and the Lopa family.
Cojuangco, who is the son of Don Pedro, serves as CAT vice president and chief operating officer.
CAT, which was incorporated in 1927, operates a sugar mill and refinery, distillery and carbon dioxide plants in Tarlac City.
Lorenzo sold Pancake House to Max’s Group of Companies for more than P3 billion in December last year.
Pancake House and Max's recently merged through a P4.05 billion share-swap deal to create the country's largest restaurant group.