MANILA - Pangilinan-led Metro Pacific Investments Corp. (MPIC) confirmed on Monday its intention to raise its stake in Manila Electric Company to 20% from the current 12.96%.

"It is the intention of the Company to significantly increase its shareholdings in Meralco," MPIC assistant vice president Melody del Rosario told the exchange in response to a Business Mirror report last Sunday.

Abs-cbnNEWS.com/Newsbreak also reported the news on Sunday (Read: Pangilinan group eyes near majority of Meralco). It was based on a story posted on Saturday that MPIC's Hong Kong-based parent firm, First Pacific Company Ltd, is raising $282 million to fund additional ventures in the Philippines. (Read: First Pacific to raise $282-M for ventures in RP)

First Pacific currently has a 33% aggregate interest in Meralco through local units MPIC (12.96%) and Pilipino Telephone Corporation (Piltel, 20%).

Manuel Pangilinan, the managing director of First Pacific and the chairman of MPIC, Piltel, and phone giant Philippine Long Distance Telephone Company (PLDT), has previously already said they are open to hiking their interests in the power retailer. (Read: Pangilinan group ups Meralco stake to 35%, seeks more shares)

The First Pacific announcement fueled talks that allies in the Meralco board--Pangilinan and the Lopez family--are nearing a deal. The patriarch of the Lopez family said a few days ago that they are mulling selling their remaining 13% stake in Meralco, which they founded, to fund the family's additional investments in the power generation sector. (Read: Lopez family eyes geothermal investments abroad; may sell Meralco stake)

"The terms of any further acquisition have yet to be agreed upon and MPIC shall make the appropriate disclosure to the investing public as soon as definitive binding agreements are completed," MPIC said.