By Neil Jerome C. Morales (The Philippine Star) | Updated
July 4, 2013 - 12:00am
MANILA, Philippines - Former textile manufacturer Filsyn
Corp. said it has entered into talks with property firms for the development of
its lots in Laguna and Cavite.
The development or sale of idle landbank is in line with
Filsyn’s efforts to turn around its negative stockholders equity, it said.
“Filsyn has ongoing discussions and negotiations with real
estate companies for potential joint venture arrangement to develop the
30-hectare property located in Sta. Rosa, Laguna,” the firm said in a
disclosure to the Philippine Stock Exchange (PSE).
Filsyn is also conducting negotiations with interested
parties for the sale of a property in Gen. Mariano Alvarez in Cavite, it added.
As of end-March, the company had a capital deficiency of
P993.18 million, slightly lower than the P994.01 million a year ago.
In terms of existing debts, the listed firm has yet to
transfer to creditors its Sta. Rosa property pending tax implications and
restrictions on land ownership, Filsyn said.
In November 2010, trustee Chinatrust informed Filsyn that
creditors of the mortgage trust indenture have accepted Filsyn’s proposal to
fully settle a P1.2-billion debt through the Sta. Rosa property as dacion.
The PSE suspended the trading of Filsyn shares in 2002
following the revocation by the Securities and Exchange Commission (SEC) of its
permit to sell securities.
However, Filsyn said despite the payment of its obligations
to the SEC, corporate regulators have yet to lift the revocation order.
Filsyn, controlled by the group of former PSE director
Patricio L. Lim, was formed in 1968 for the manufacture of polyester fiber and
yarn but later ventured into the production of polyester terephthalate bottles
which are supplied to the mineral water, softdrinks and condiment industries.
With the slump in the textile industry in the mid-90s,
Filsyn’s operations have been severely affected, limiting the company to the
disposal of old inventories, machineries and equipment as well as scrap metal
and parts.
In late 2000, the company’s board directed management to
study a proposal to change the firm’s principal activity to that of real estate
development in view of its planned joint venture with Fil-Estate Properties and
the Manila Banking Corp. but since then, no definite moves have taken place.
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