The Philippine Competition Commission (PCC) has cleared for liftoff San Miguel Corp.’s P97 billion takeover of Eagle Cement (EAGLE) of ultra bilyonaryo Ramon S. Ang.
“While the proposed transaction breaches the thresholds prescribed by the PCC, and its implementing rules and regulations, the Commission has ruled that base don the documents and information submitted with the form the proposed transaction is not subject to notification requirement under the IRR,” PCC said in an October 27 notice.
EAGLE shares soared 8.42 percent to P20.60 in mid-trading shortly after SMC made the disclosure 30 minutes after the opening bell.
SMC said that with the PCC clearance, it would now proceed with its mandatory tender for the purchase of the 11.5 percent equity interest in EAGLE not owned by Ang and his family.
SMC has agreed to buy EAGLE at P22.02 per share.
The PCC green light is good news for the SMC president and CEO two years after the PCC rejected his $2.15 billion offer to buy rival Holcim Philippines led by bilyonaryo Tomas I. Alcantara.