A mandatory offer from KKR KKR.N to buy Philippines-based First Gen Corp FGEN.PS would value it at around P165.44 billion ($2.70 billion), the power producer and its parent First Philippine Holdings FPH.PS said on Thursday.
First Gen disclosed on Wednesday that KKR had offered to buy an 8.43% stake in the company from First Philippine.
The stake buy would likely trigger a mandatory tender offer from KKR for the entire public float of 11.67% of First Gen’s 3.60 billion outstanding common shares, the power producer added. The tender offer would support a petition to voluntarily delist First Gen from the Philippine Stock Exchange.
KKR is expected to offer around 46 pesos per share for the tender offer.
KKR declined a Reuters request for comment.
First Gen’s shares advanced as much as 9.5% to 29.95 pesos on Thursday, extending the previous session’s gains of 28.4% that took them to their highest since early March 2022.
First Philippine, which holds a stake of 67.84% in First Gen, gained as much as 6% on the day.
($1 = 61.2330 Philippine pesos)
—Reporting by Nikita Maria Jino in Bengaluru; Editing by Janane Venkatraman
