Singapore-based holding firm Polaris Ltd, through its subsidiary Polaris Explorer Pte Ltd (PEPL), has tied up with TechTitan Technology Inc (TechTitan) to form a joint venture company with an investment of $441,000 (P15 million), in the Philippines .
The newly-formed company named Polaristitans Philippines Inc (Polaristitans) will carry on the business of importing, exporting, manufacturing, selling, distributing, and marketing of wholesale telecommunication equipment.
Under the deal, PEPL will have 40 per cent shareholding in Polaristitans while TechTitan will own 60 per cent share.
“The board is of the view of pursuing strategic JV opportunities in emerging South East Asia markets and such expansion will reach into new markets and improve margins in support of regional expansion plans,” Polaris said in a statement.
PEPL will fund the investment through its internal resources. Since Polaristitans is a new set up, the joint venture is not expected to have any material financial impact on the consolidated net tangible assets per share and consolidated earnings per share of Polaris and PEPL for the current financial year ending December 31, 2014, the company said.