THE Philippine Stock Exchange, Inc. (PSE) has again issued a trading suspension to SP New Energy Corp. (SPNEC) after it disclosed its full acquisition of Terra Solar Philippines, Inc.
“After a careful review of the disclosure submitted by the Company, the Exchange deems that the foregoing transaction is covered by the Rule on Disclosure for Substantial Acquisitions and Reverse Takeovers,” the PSE said on its website, referring to Section 5, Article VII of the Consolidated Listing and Disclosure Rules of the Exchange.
On Dec. 12, SPNEC said it had acquired the entire stake of Prime Infrastructure, Inc. in their 50-50 joint venture in Terra Solar for P6 billion.
The PSE said trading of SPNEC shares had been suspended from Dec. 12 pending the submission by the company of the requisite comprehensive disclosure.
The trading suspension was the second time imposed by the PSE on SPNEC shares this year.
On June 2, trading of SPNEC shares was suspended for falling below the minimum public ownership (MPO) requirement.
Under PSE listing rules, listed firms must maintain an MPO of at least 20%. Those that would fall below “shall be suspended from trading for a period of not more than six (6) months and shall be automatically delisted if it remains non-compliant with the MPO after the lapse of the suspension period.”
The bourse operator said that as a result of the SPNEC acquisition of 100% shares of Solar Philippines Power Holdings, Inc. (SPPPHI), “the Company’s public ownership level fell below the 20% prescribed minimum percentage.”
The suspension was lifted on Dec. 1 as the PSE confirmed that SPNEC had complied with the MPO requirement after its shares were donated by SPPPHI to Asia Pacific Institute for Green Development, Inc.
At the local bourse as of Sunday, the company’s free float level was at 13.82%.
The PSE said that it would inform trading participants and the investing public of further developments on the latest suspension. — Sheldeen Joy Talavera