Razon acquires Active Alliance for P200M
MANILA, Philippines (UPDATE) - Ports billionaire Enrique K. Razon has acquired dormant listed firm Active Alliance Inc. (AAI).
There is market speculation that AAI will be the vehicle for the backdoor listing of Razon's new company Bloomberry (not Bloomsbury as earlier reported), which is constructing a $1 billion integrated casino resort complex at the Entertainment City complex in Parañaque.
AAI told the Philippine Stock Exchange (PSE) on Wednesday that five of its stockholders, including Wespac Holdings Inc., agreed to sell 60 million of its shares to Razon's company Prime Metroline Transit Corp. for P200 million. The 60 million shares constitute 75% of the outstanding capital stock of AAI.
In an email to ANC, Razon said the company that bought AAI is the parent of Bloomberry.
"The company that bought AAI is the parent company of Bloomberry which is undertaking our Entertainment City development. Time table and details for any possible restructuring will be announced at the appropriate time," said Razon, owner of ports giant International Container Terminal Services Inc. (ICTSI).
Razon said he would make a tender offer for the remaining 25% of AAI shares immediately but declined to elaborate on backdoor listing or other restructuring plans.
Razon bought AAI at P3.33 per share, much lower than the closing price of P76 on Monday. AAI voluntarily suspended trading of its shares Tuesday, and will remain suspended until November 28.
Shares of AAI have skyrocketed since early November, on the Razon takeover rumors. AAI shares traded at P4.91 last November 8, and closed at P76 on November 20.
Bloomberry Resorts and Hotels Inc. this year started structural works for the hotel and casino project, which is expected to be up and running by October 2012.
The project, covering an area of 8.3 hectares, features a five-star hotel, casino and gaming facilities, state-of-the-art meeting and convention venues, high-end retail and fine dining outlets, and health and wellness facilities.
The project is part of the state-run Philippine Amusement and Gaming Corp.'s Entertainment City complex covering 120 hectares of prime reclaimed land at the southeastern portion of the Manila Bay. It is seen to rival leisure hubs in the region such as those in Macau, Malaysia and Singapore. - With report from Coco Alcuaz, ANC