MANILA - A United Kingdom-based investment firm and its units acquired a minority stake in Ayala-led water concessionaire, according to the company's disclosure to the Philippine stock exchange.

Manila Water Company said First State Investments Management Ltd. and its units has acquired a total of 5.438% stake.

With Manila Water's 2,004,895,466 outstanding shares and market price of P16.25 last Monday, the deal is worth more or less P1.77 billion.

According to its website, First State Investments is a specialist asset management business focused on developing and managing investment products in Asia Pacific and global emerging markets, and global resources and utilities.

The entry of First State Investments is expected to strengthen the local water concessionaire’s financial warchest, which is undertaking rehabilitation programs in its existing service areas in the east zone of Metro Manila. It currently has a customer base of 5.6 million.

Manila Water is also aggressively expanding and has inked service contracts in various parts of the country.

On the other hand, First State is part of the consolidated asset management business of the Commonwealth Bank of Australia, which manages £70.8 billion on behalf of investors worldwide.