GT Capital to invest $200M in Toyota

TY-LED conglomerate GT Capital Holdings, Inc. is expanding its automotive business through a $200-million (22.2 billion yen) investment in Japan’s Toyota Motor Corp. (TMC).

In a disclosure on Thursday, GT Capital said it would purchase shares in the Japanese automotive manufacturer through the Tokyo Stock Exchange. The purchase price will be based on current market prices.

In a phone interview, GT Capital First Vice-President and Investor Relations Head Joey Crisol said the company had already tapped the Japan debt market for the acquisition, raising as much as 22.2 billion yen.

Crisol said the investment, equivalent to a 0.1 percent stake in TMC, would not make a significant impact on GT Capital’s financial performance.

The conglomerate owns a 51-percent direct stake in Toyota Motor Philippines, Inc. (TMP), with the rest owned by TMC.

Toyota’s Philippine affiliate, which dominates the local market with a 39 percent market share, grew its net income last year by 11 percent to P13.4 billion.

Consolidated net income in the first three months reached P2.4 billion while consolidated revenues reached P33.7 billion.

GT Capital shares closed up P15 at P900 apiece on Thursday.

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