ALT disclosed that its board of directors and stockholders have approved the company’s acquisition of up to 361,390 shares of stock of Philab Industries representing 100 per cent of its issued and outstanding capital stock pegged at $10.3 million (P500 million).
ALT’s acquisition would make Philab Industries to fold into a new holding company. In fact, ALT recently approved the plan to change its corporate name to Philab Holdings Corp.
“The change in corporate name is being made so the company can benefit from the brand or name recognition of ‘Philab'”, ALT said in its statement.
However, ALT informed the local bourse over the weekend that there was still no definitive agreement or share purchase agreement finalized by them and Philab Industries.
Philab Industries is a pioneer in the Philippine health science sector with 60 years experience in the field. It has forayed into various areas like health test kits, construction of science and medical facilities, and into the education sector and soon, genomics.
A former IT company known as iRipple Inc, ALT became a holding firm in May 2015. iRipple was engaged in developing, managing and providing internet projects including trading in computer hardware and software.
ALT added its board directors also approved the increase of its capital stock from P20 million to P2 billion.
“The increase in the authorized capital stock is to allow the company to be poised to issue equity shares as a way of raising funds for future opportunities of growth,” the holding firm explained.
Philab Industries owner Hector Thomas Navasero currently holds a 67 per cent stake in ALT.
Established in 1959, Philab Industries developed a track record of consistent profitability, being a pioneer designer and builder of the majority of the medical and science laboratories in the Philippines.
In the first quarter of 2016, Philab Industries has already been awarded an initial total of P3.19 billion in new contracts from the Department of Education (DepEd), the Department of Health (DOH) and the National Institutes of Health UP Manila (NIH) through to 2018.
DepEd has entrusted the company to supply math and science teaching kits for over 34,000 schools across the archipelago.