LEADING investment house BDO Capital and Investment Corp. wants to arrange the proposed P10-billion fundraising of Lopez-controlled companies First Philippine Holdings Corp. (FPHC) and First Gen Corp. (First Gen).

In an interview, BDO Capital president Eduardo Francisco said the companies will raise P5 billion each from the sale of either preferred shares or registered bonds in the second or third quarter of the year.

He said the proceeds from the planned activity will be used by the companies to help fund their respective capital expenditure programs.

Last November, shareholders of First Gen, one of the country’s biggest private-power generators, approved an increase in its authorized capital stock from P1.65 billion to P3.65 billion via the creation of 200 million preferred shares with a par value of P10 each.

The increase was intended to raise funds for various corporate purposes, including but not limited to acquisitions of power and other related projects from government and private institutions.

FPHC shareholders, on the other hand, approved last October a plan to issue P20 billion worth of preferred shares.

The issuance, which involves 200 million shares with a par value of P100 each, will hike FPHC’s authorized capital from P12.1 billion to P32.1 billion.

President and chief operating officer Elpidio L. Ibanez told reporters earlier the company will initially issue P5 billion worth of preferred shares in the first half of 2008.

“Initially we are looking at that amount, but if there are new major opportunities, we already have that flexibility,” he said.

The entire proceeds from the issuance will be used for various corporate purposes, such as further acquisition of shares in Meralco, First Gen and Manila North Tollways Corp. as well as for new-strategic investments in infrastructure, manufacturing and property and the refinancing of existing debts.

LEADING investment house BDO Capital and Investment Corp. wants to arrange the proposed P10-billion fundraising of Lopez-controlled companies First Philippine Holdings Corp. (FPHC) and First Gen Corp. (First Gen).

Digitel secures $33M in foreign loan

DIGITEL Mobile Philippines Inc. (DMPI), a wholly-owned subsidiary of Digital Telecommunications Philippines Inc. (Digitel), has secured a  $33.1-million loan from ING Amsterdam.

LISTED Eton Properties Philippines Inc. (EPPI), a member of the Lucio Tan Group, has launched South Lake Village, the first residential island lots in the country and forms part of the property developer’s most ambitious project, to date, called the Eton City in Sta. Rosa, Laguna.

LISTED IPVG Corp. has acquired US-based Prolexic Technologies Inc. (Prolexic) for $10.5 million.

Prolexic provides businesses operating on the Internet, including e-commerce companies, protection from all types of cyber-security threat.

STOCKS on Tuesday rose for the first time in six days on increased probability that the US Federal Reserve will cut rates by half a percentage point to avoid a recession. Philippine Long Distance Telephone Co. (PLDT) and Ayala Land Inc. led the gains.

Article 1767 of the Civil Code of the Philippines states that by the contract of partnership two or more persons bind themselves to contribute money, property, or industry to a common fund, with the intention of dividing the profits among themselves. Two or more persons may also form a partnership for the exercise of a profession.