On December 6, Aboitiz Equity Ventures or AEV in the Philippine Stock Exchange disclosed that it would push through with the sale of its transport unit, Aboitiz Transport System (ATS) to Negros Navigation Co. (Nenaco). Aboitiz Equity Ventures is selling 1,889,489,607 common shares, representing 77.24% of ATS’ outstanding common shares. The proceed of which will be used by AEV to finance new investments in power, food, and banking. As previously mentioned, the purchase price for 100% of ATS’s outstanding common shares is $105 million, approximately equivalent to $0.043 per share. This would then translate to PHP 1.8920 per share at PHP 44.00 per 1 USD. So presently, the shares of ATS is still trading at a 7.50% discount, assuming an exchange rate of PHP 44.00 to a dollar,  given last Thursday’s close of PHP 1.7600 per share. [Read more...]