BEC earlier disclosed the deal involves the exploration, development, and production of renewable energy resources in the Philippines and abroad.
VTE bought over 435 million shares of stock in BEC, a transaction subject to compliance of the conditions precedent, representations and warranties and covenants included in the agreement.
Financial terms of the share transaction were not disclosed.
“VTE has the right to invest in the Mabini Geothermal Project and other projects of BEC, and VTE may increase its holdings of BEC shares in the future, both subject to terms and conditions which shall be mutually agreed upon by the parties in the future,” BEC said in its statement.
Originally in the construction and engineering business, VTE is now developing some energy projects in Japan, Myanmar, Indonesia and the Philippines.
BEC has five service contracts in its portfolio awarded by Department of Energy (DOE) for the exploration and development of geothermal energy in the provinces of Batangas, Bataan, East Mankayan, Mountain Province, Ifugao, Camarines Sur, Albay, and West Bulusan in Sorsogon.
As a holding company, BEC held equity investments in its subsidiaries, namely investment holding company Basic Diversified Industrial Holdings Inc, IT management company and service integrator iBasic Inc, biofuels developer Basic Biofuels Corp, agricultural company Basic Ecomarket Farms Inc, oil exploration firm Southwest Resources Inc, and geothermal energy development company Basic Geothermal Energy Corp.
BEC and VTE last traded at P0.310 and THB3.14 per share on Wednesday (February 15).