DoubleDragon Acquires 35% Merry Mart Stake for P1.28B

DoubleDragon Corp., the listed company owned by Edgar "Injap" Sia II and Tony Tan Caktiong, is entering the essential retail space with the acquisition of a 35-percent stake in MerryMart Consumer Corp. for P1.28 billion.

- — Richmond Mercurio

DoubleDragon said that its board approved the acquisition of 2.66 billion common shares of MerryMart, a company owned by Sia, at P0.48 per share based on the 30-day volume-weighted average price of MerryMart shares.

The transaction will be paid 50 percent using DoubleDragon shares as payment, also valued using its past 30-day volume-weighted average price of P9.30 per share and 50 percent in cash, amounting to P637.97 million.

DoubleDragon is required to conduct a mandatory tender offer of the shares of MerryMart held by its remaining shareholders at the same valuation, subject to final regulatory approvals.

The acquisition of MerryMart is expected to complement the ecosystem of DoubleDragon, a Triple-A credit-rated company with total assets of over P190 billion.