I appreciate this update by the company.It confirms that one of...

I appreciate this update by the company.

It confirms that one of the issues is the ownership structure of the group, although the board assures us that we still have 100% control of the subsidiaries.

What I didn't appreciate was that Villanueva had actually sold all of his PMHI shares (50%) to Mr Mahusay. I have been rather lazy (and still am being lazy) about researching the ownership structure and Philippine law in this area (I think it would be helpful if the company provided more details on this, but presumably they will need to rectify the issues they have identified before they do so). I believe it is Philippine law foreign companies can only own up to 40% of certain businesses. I didn't really consider who owned the 60%.

I therefore wonder how much say if any the company has in who owns the 60%? Could Mahusay sell to any Philippine citizen and could he for example sell back to Villanueva if he wanted? I am curious to know why Villanueva sold as he clearly still wants to be involved in the management of PMC. So my concerns about how Mahusay was appointed may be irrelevant because it is all about who owns the shares? I hope the company provides clarity on this issue once the audit is complete.

The update has advised that the audit includes an in depth review of budgeting, accounting, financial reporting, internal controls - this is fundamental stuff and the CFO has been in place since 2020 - presumably if they find significant issues in this area he must take some responsibility?


I disagree that 'it is paramount that the suspension is maintained'. It is a bit of a moot point as the suspension is not voluntary but I would like to have the option to sell my shares. Since the suspension was implemented more information has come to light which is likely to change the assessment of the company by shareholders, including those who previously consider themselves long term holders. If I could I would happily sell my shares at the current price of 57c - I note there are posters who have buy sentiment. Why shouldn't I be allowed to sell to them?