Philippines: MPIC enters wastewater biz, acquires 65% of ESTI for $38.7m

Visual from ESTII website

Philippine conglomerate Metro Pacific Investments Corp (MPIC) has invested up to $38.7 million (P1.8 billion) to acquire a 65 per cent controlling stake in Eco-System Technologies International Inc (ESTI), a local environmental technology solution provider.

The acquisition marked the entry of MPIC into wastewater treatment business.

MPIC vice president Melody del Rosario earlier disclosed the conglomerate’s wholly owned subsidiary Metropac Water Investments Corporation (MWIC) has acquired 65 per cent of the outstanding capital stock of ESTI which is engaged in the business of designing, supplying, constructing, installing, and operating and maintaining wastewater and sewage treatment plant facilities.

“The Transaction allows MPI (through MWIC) to diversify its water sector investment holdings and invest in the high growth wastewater EPC and O&M market,” Del Rosario informed the local bourse.

Also Read: Philippines: San Miguel, MPIC mull ‘$10b airport joint venture’

Transacted on Thursday, MWIC bought from ESTI a total of 12 million Class A common shares priced at P141.67 per share, and 1 million Class C common shares sold at P100 apiece, representing 60 per cent and 5 per cent of total outstanding capital stock of ESTI, respectively.

Headquartered in Mandaluyong City, ESTI was established in 1995 is the current Engineering, Procurement and Construction (EPC) contractor for Maynilad Water Services Inc for sewage treatment plants with an aggregate capacity of at least 21,500 cubic meter per day.

Del Rosario noted ESTI’s track record includes designing and building more than 500 high performing wastewater treatment and water recovery plants in the Philippines.

Also Read: Philippines: MPIC, GT Capital seal series of investment deals worth $940m

“ESTII has a leading market position in the Philippine wastewater industry and has a valuable client base comprised of major mall, office, commercial and residential property developers, hotels and resorts, hospitals and industrial facilities,” she said.

Only last May, MPIC formed a “strategic alliance” with the GT Capital Group and has made an initial investment in its power generator subsidiary Global Business Power Corp (GBP) for a 56 per cent ownership worth P22 billion, and two days later bought a 25 per cent stake in Beacon Electric Asset Holdings for P26.2 billion. Beacon Electric is a special purpose company owned 50-50 by telco giant PLDT, and MPIC.

MPIC’s last trading price decreased 0.15 per cent or P0.0100 to close at P6.49.

Also Read:

Philippines: MPIC buys 25% more stake in Beacon Electric for $560.4m

Philippines: PLDT, Globe acquire 50% each of San Miguel’s telco assets

PH firm MetroPac seals $60m bulk water project

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
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Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.