The Maharlika Investment Corporation (MIC) has acquired a 20% stake in Synergy Grid and Development Philippines Inc. (SGP), granting it significant influence with two board seats each in SGP and the National Grid Corporation of the Philippines (NGCP).
The Presidential Communications Office (PCO) highlighted the strategic importance of this investment, describing it as an opportunity for the government to strengthen its oversight and influence over the country’s vital power infrastructure. “This aims to guarantee that every Filipino has access to reliable and affordable power,” the PCO stated.
Since January 2009, the NGCP has held full authority over the management and operations of the national transmission system under a franchise granted by Congress.
President Ferdinand “Bongbong” Marcos Jr. presided over the signing of the binding term sheet between MIC and SGP at Malacañang Palace on Monday afternoon. During the ceremony, the President acknowledged the challenges that had been overcome in finalizing the agreement. “Congratulations, everyone. I know it wasn’t easy. I think, in the end, we found a good solution to everyone’s concern,” he said.
MIC President and CEO Rafael Consing Jr. signed the agreement alongside SGP Chairman Henry Sy Jr. Consing emphasized the representation this deal secures for the government. “Once the acquisition is completed, we shall be entitled to two out of nine seats in the SGP board, after the total seats are increased from seven to nine. At NGCP, the government gains representation through two out of 15 board seats, following an increase in the total seats from 10 to 15,” Consing explained.
The MIC investment involves subscribing to preferred shares offered by SGP, which holds a 40.2% effective ownership interest in NGCP, the country’s power grid operator.
Meanwhile, SGP shares closed at PHP 10.98 apiece on Monday, January 27, down by PHP 1.02 or 8.50% from the previous session’s close of PHP 12.00.
This development underscores the administration’s commitment to securing the country’s energy infrastructure and ensuring sustainable power for the Filipino people.
Carlo Juancho FuntanillaFrontend Developer, WordPress, Shopify
Contributing Editor
AMA ACLC San Pablo
- Carlo Juancho Funtanillahttps://tutubi.ph/author/carlojpf/
- Carlo Juancho Funtanillahttps://tutubi.ph/author/carlojpf/
- Carlo Juancho Funtanillahttps://tutubi.ph/author/carlojpf/
- Carlo Juancho Funtanillahttps://tutubi.ph/author/carlojpf/
