Rizal Philippines
History of Meralco
The real real estate deals are those where little or none of your money is used. And only brilliant deal makers entrepreneurs can do that.
Examples.
1. Purchase of Lopez from GTU of Meralco...
Under the Laurel Langley agreement, all US owned companies in the Phil by 19.., they shall be sold and transferred to Philippine owners, especially the utility firms like Meralco, Channel 7.
Classic was the purchase of Meralco by Lopezes from GTU
1. Lopez using personal money makes a DP; Lopez borrows from PCIBank
2. Lopez executes a Contract for term payment of Meralco (which could probably come from
earnings,) say 10 years
3. Lopez incorporates a holding company to hold the Meralco shares, keeping corporate structure
of Meralco intact: Meralco Securities Lopez of course are the majority stockholders
4. Meralco floats some of the shares at an IPO. The proceeds are used to pay off the PCIBank
loan.
Question: did Lopez use his own money to buy Meralco..? At the end he did not spend a single
centavo. Only the genius of Lopez could have thought of that...
