THE Stock Exchange is demanding more information from listed San Miguel Corp. over its acquisition of a large stake in Petron Corp., and has recently asked it to explain the exercise price over the shares in the Philippines’ largest oil refiner.

“We would like to request if there is a provision in the agreement pertaining to the terms and conditions for the payment of the exercise price of the shares,” the Exchange told San Miguel in its latest letter.

Also known as the strike price, the exercise price is the price at which an underlying security may be purchased (call option) or sold (put option).

The Exchange said it wanted a response by Monday.

San Miguel earlier provided the Exchange with additional information on its option agreement with SEA BV, the parent firm of SEA Refinery Corp., which holds a 50.1-percent stake in Petron.

San Miguel said it would need at least P32.2 billion to finance the acquisition of a 100-percent interest in SEA Refinery.

Stock Exchange head Francis Lim said the Exchange needed to review the new information from San Miguel to determine if it would require more information from the company. The Exchange needed information to protect the investing public, he said.

San Miguel had earlier refused to provide more information on the option agreement, citing its confidentiality agreement with SEA BV. But the Exchange threatened to penalize it if it failed to provide important information about the deal.

San Miguel has said the option agreement involves a possible acquisition of a 100-percent stake in SEA Refinery, and that it could be exercised within the next two years.

San Miguel said it had committed to pay $10 million for the option, an amount separate from the price to be paid for the option shares if and when the option is exercised. Jenniffer B. Austria