SBS Holdings and Enterprises Corp (SHEC), a wholly owned subsidiary of SBS Philippines Corporation, has acquired a 4.25 per cent equity interest in Joune Holding Limited (JHL), a Hong Kong company majority owned by the Sytengco Family, for $1.5 million (P77 million).
SBS, a listed chemical trading and distribution firm, noted the latest investment is part of its bid to diversify into the property business.
The company disclosed that JHL has entered into a purchase agreement to acquire Maxco International Development Limited, a Hong Kong property holding company that owns, directly and indirectly through its wholly owned subsidiaries, contiguous parcels of land located in Tuen Mun, New Territories, Hong Kong with a combined lot area of approximately 4,641.7 square meters.
The investment by SHEC and the acquisition of the property holding firm by JHL are set to close within a month.
For the first six months of 2017, SBS realized a net income of P53.5 million. It recorded net sales of P512.7 million, down 0.9 per cent compared to the same period of the previous year.
Gross profit from core business grew 11 per cent year-on-year, with gross margin improving from 22.5 per cent to 25.2 per cent.
“For the period, improved sales growth was posted for food ingredients, feeds, cosmetics and personal care product segments versus prior year comparable period. However, demand for industrial products remained weak, affected by the downdraft from the mining industry and pricing action taken on account of the higher importation and supplier costs,” SBS reported.
The company last traded at P6.06 per share on Wednesday (October 18).