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SPC Power Corp. has announced the sale of its nearly 30 million common shares in Bohol Light Company Inc. (BLCI) to Primelectric Holdings Inc., a subsidiary of More Electric and Power Corporation, owned by tycoon Enrique K. Razon.
The sale, approved by SPC Power’s board, is valued at P6.67 per share, totaling P199.5 million.
The Cebu-based power company said the sale is in line with the terms and conditions of a share purchase agreement.
However, the company did not disclose the percentage of its stake in Bohol Light.
BLCI, a power distributor servicing Tagbilaran City, is 70% privately owned.
The remaining 30% is held by the provincial government, which is represented by two of the company’s seven board members.
The Energy Regulatory Commission (ERC) awarded Bohol Light the certificate of public convenience and necessity for the construction, installation, operation, and maintenance of an electric service in Tagbilaran.
The certificate was valid from June 12, 1996, to June 12, 2021.
BLCI was also granted the franchise with authority to operate light and power services for 25 years until Oct. 19, 2025.
SPC Power operates several units, including SPC Island Power Corp., Cebu Naga Power Corp., SPC Malaya Power Corp., SPC Light Co., Inc., and SPC Electronic Co., Inc.
It also operates the 146.5-megawatt Panay Diesel Power Plant and the 22-MW Bohol Diesel power plant in Tagbilaran City, according to the company’s website.
Neither SPC Power nor Primelectric Holdings responded to inquiries regarding the transaction.
Bohol Province Retains Stake in BLCI
The provincial government of Bohol has affirmed its commitment to retain its stake in the Bohol Light Company Inc. (BLCI), despite recent changes in the company’s majority ownership.
The Salcon Group, a previous shareholder, sold its shares to a consortium led by business magnate Enrique Razon Jr.
However, this development has not swayed the provincial government’s decision to hold onto its 30 percent stake in BLCI.
Governor Erico Aristotle Aumentado stated that Bohol has no intention of divesting its shares in BLCI.
The company, which is the franchise holder for power supply to homes in Tagbilaran City, was established as a result of a joint venture agreement between the provincial government and the Salcon Group during the tenure of former Governor Rene Relampagos.
Earlier this year, the Salcon Power Corporation (SPC) sold its shares, valued at P189.5 million, to Primeelectric Holdings Inc., a company owned by Razon.
At the time of reporting, the provincial government had not yet received any official communication regarding the sale of shares.
Primeelectric Holdings Inc., apart from its new acquisition, also has interests in the power distribution sector in Iloilo City.
Governor Aumentado emphasized that Salcon’s decision to sell its shares to the Razon-owned firm was an independent move.