By Neil
Jerome C. Morales (The Philippine Star) | Updated July 17, 2013 - 12:00am
MANILA,
Philippines - London-based private equity fund Ashmore Group is cutting its
business ties with Ongpin-led Alphaland Corp., the local property developer
said in a disclosure yesterday.
“Mr. Roberto
V. Ongpin, one of the major shareholders of the company, the Ashmore Group
(another major shareholder) and a potential third party investor are in talks
for the divestment of Ashmore Group’s investment in the company,” Alphaland
said.
“While the
major issues have been agreed, the actual executory documents have yet to be
signed,” it added.
Sources said
Ashmore Group’s board reportedly did not agree to some corporate actions of
Alphaland. The private equity firm earlier sought for Ongpin to leave the
listed property company.
Alphaland
said its management is not involved in the negotiations for the exit of the
Ashmore Group.
Ongpin, a
former trade minister, was instrumental in orchestrating the deal that allowed
Ashmore Group to buy Saudi Aramco’s 40-percent stake in the country’s largest
oil refiner Petron Corp. for $550 million in March 2008.
Ashmore Group
is also involved in telecommunications (ISM Communications), oil exploration
(Philex Petroleum Corp.) and water (Maynilad Water Services).
In April, the
equity fund set up a full operating office in Indonesia as it committed to make
that country a key market for its operations.
Ashmore
Group, which focuses on emerging markets, was set up in 1992 as part of the
Australia and New Zealand Banking Group. In 1999, it became independent,
managing $77.7 billion worth of pooled funds, segregated accounts and
structured products as of end-March.
For its part,
Alphaland is focusing on completing its high-end leisure developments catering
to the affluent.
It is the
company behind the P2-billion Alphaland Marina Club and the 32-hectare Bay City
development both along Manila Bay; the P4-billion Balesin Island Club in Quezon
province; and the Alphaland City Club that will offer two hectares of leisure,
entertainment and business options in Makati central business district.
Alphaland, a
joint venture between Ashmore Group and Ongpin’s RVO Capital Ventures, was
incorporated in May 2007, with the Alphaland Southgate Tower and Mall at the
corner of EDSA and Chino Roces Ave. in Makati City as its first completed
project.
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