The Philippine Stock Exchange (PSE) has approved the application of Roxas Holdings Inc. (RHI) for a nine-day voluntary suspension of the trading of its stocks following the planned takeover of young tycoon Leandro Leviste.

In its letter to the PSE, RHI said it sought a trading suspension to avoid speculative trading of its stock from May 20, 2021 until May 31, 2024, when the Leviste’s “Investment Agreement and other definitive agreements are indicated to be executed and completed as per the Term Sheet.”

Leviste, through his Countryside Investments Holdings Corporation, has signed a term sheet with tycoon Manuel V. Pangilinan to invest P5 billion for an initial 71.6 percent in RHI.

Countryside’s investment will help Roxas Holdings service debt to avoid bankruptcy, increase tax revenues of the municipality of Nasugbu, and create more and better jobs for the benefit of local farmers and former sugar industry workers, Leviste said in a Facebook post.

However, RHI informed the PSE that “kindly be advised that the non-binding Term Sheet on which the article is based contemplates the execution of the relevant definitive documentation, including a binding Investment Agreement, on or before May 31, 2024.”

“RHI Management believes that any further news articles or press releases that will come out hereinafter will greatly fuel the speculation that such ‘proposed investment by CHCI or Leviste’ is a done deal, which is misleading and far from the truth,” it noted.

In a separate disclosure, RHIC clarified that “a non-binding Term Sheet was signed by Roxas Holdings, Inc., First Pacific Natural Resources Holdings, BV, First Agri Holdings Corporation and Countryside Investments Holdings Corporation on May 16, 2024."

“FPNR (BV) and FAHC are wholly owned subsidiaries of First Pacific Company Limited and collectively own a total of 62.89 percent of outstanding capital of RHI. On the other hand, CIHC is a company wholly owned and controlled by Leandro Antonio Leviste. RHI also confirms that the Term Sheet sets out, among others, indicative key terms and conditions for the proposed subscription by CIHC to RHI primary shares in tranches,” it added.

It pointed out though that “the Term Sheet is indicative only and does not create any legally binding obligation on any of the parties, as it is subject to the execution and delivery of definitive documentation and fulfillment or satisfaction of various closing conditions,

“Including obtaining all required corporate board and stockholders' approvals, regulatory approvals/clearances (including those from the Philippine Competition Commission and the Securities and Exchange Commission), third party consents (including those of creditors), and satisfactory results from financial and legal due diligence exercises.”