First Philippine Holdings Corporation (FPH) has received the green light from the Securities and Exchange Commission (SEC) to hold its annual stockholders’ meeting on July 27 without electing a board of directors, as the internal power struggle within the Lopez family intensifies.
The MSRD of the SEC allowed the unusual exclusion of the election from the agenda to prevent a high-stakes proxy war while the legal battle over leadership and governance remains unresolved.
“Once the issues in the intra-corporate case are resolved… the company’s board of directors shall immediately convene to set a date for a stockholders’ meeting for the purpose of electing directors,” FPH disclosed.
The conflict escalated after the camp of Eugenio “Gabby” Lopez III moved to oust Federico “Piki” Lopez as President of Lopez Inc. due to a “loss of trust and confidence.” Piki successfully countered this with a court injunction, maintaining his hold on FPH and First Gen Corporation.
The dispute has since widened into allegations of financial mismanagement and “poison pill” provisions. Gabby’s camp is seeking a probe into First Gen’s deals with tycoon Enrique Razon Jr., which reportedly include clauses that could trigger massive losses if Piki is replaced. Conversely, Piki has retaliated by calling for a SEC audit of ABS-CBN Corporation.