Global acquires way for backdoor listing of EmperadorBy Doris C. Dumlao
Philippine Daily Inquirer
MANILA—Andrew Tan’s Alliance Global Group Inc. has taken control of Touch Solutions Inc. as a backdoor listing entry for liquor unit Emperador Distillers Inc.
In a disclosure to the Philippine Stock Exchange on Thursday, AGI said it had struck an agreement to subscribe to up to 15 billion shares of TSI at par value to be issued out of the proposed increase in the authorized capital stock of TSI.
As part of the transaction, AGI will transfer, and TSI will receive, shares of EDI. The company’s bylaws will be amended to change the corporate name to Emperador Inc.
In a separate disclosure, TSI said its seven directors had resigned. In their place, seven new directors led by Tan have been elected. Tan is now the chair of TSI while Winston Co, who heads Emperador, was named president.
The PSE, subjecting this transaction to the rules on backdoor-listing, suspended trading on TSI pending compliance with the required submission of a comprehensive corporate disclosure on the transaction.
Emperador posted a 35 percent year-on-year jump in first semester net profit to P3.17 billion. This was on the back of a 20-percent growth in total revenues to P13.86 billion from a year ago.
This liquor company produces Emperador Gold and Emperador Light brandies and a line of flavored alcoholic beverages called The Bar. It recently introduced Emperador Deluxe, which is bottled in Spain. AGI attributed Emperador’s growth to increased sales of the world’s best-selling brandy, Emperador. This brand sold over 31 million cases last year, mostly under the product Emperador Light.
Short URL: http://business.inquirer.net/?p=140733