The stock sank to P24.90 after a one-hour trading suspension, compared with Friday’s P30.70 close. It rebounded to P28 each as investors await next moves from KKR.
Lopez family-backed parent firm First Philippine Holdings Corp. said on Monday mornng that KKR’s proposal did not represent First Gen’s “true value,” rejecting the current offer that could have eventually led to the power producer’s delisting.
Month-old proposal
KKR had submitted the preliminary and non-binding proposal on July 10, but First Gen only confirmed its existence about a month later after news of the potential transaction surfaced publicly.
The proposal called for KKR, already a 19.9-percent shareholder, to acquire another 8.43 percent from FPH before launching a P35-per-share tender offer for the 11.67-percent public float.
At P35 per share, First Gen would have been valued at roughly P126 billion.
Market waits for KKR
First Gen’s partial recovery from its intraday low came as investors weighed the possibility that KKR could return with a revised proposal.
For now, the P35-per-share offer has been rejected and KKR has yet to indicate whether it will raise its bid.
—Edited by Miguel R. Camus
