First Philippine Holdings Corp. (FPH) rejected an unsolicited, non-binding proposal from KKR & Co. FPH, controlled by the Lopez family, is the parent company of Philippine power producer First Gen Corp. KKR had proposed to increase its stake in First Gen. FPH stated the P35 per share offer did not reflect First Gen's true value.
KKR already holds a significant minority stake in First Gen. KKR proposed to buy an 8.43% block from FPH. KKR's plan included a subsequent voluntary tender offer for remaining publicly held shares. The ultimate goal was to delist First Gen from the local stock exchange. First Gen shares fell sharply following the rejection, erasing gains made when the offer was first reported.