By Richmond Mercurio (The Philippine Star) | Updated February 3, 2015 - 12:00am
MANILA, Philippines - A Brown Co. Inc., the holding firm of the Brown Group of Companies, has sold its entire stake in its chalets and hotel unit to its top officials for P23.7 million.
In a report to the Philippine Stock Exchange, A Brown said it sold 50 million shares representing its 100 percent equity in Brown Resources Corp. (BRC) to Angelus Agri Corp., a company which designated A Brown chairman Walter W. Brown and director Annabelle P. Brown for the transaction.
Walter and Annabelle will serve as chairman and president of Angelus Agri, respectively.
Shares of BRC, the company that operates the chalets and hotel business of the A Brown Group of Companies, were sold at P0.474 apiece for a total cost of P23.7 million, A Brown said.
The amount was lower than the earlier consideration of P0.49 per share totalling P24.50 million.
“The sale of BRC will realign the business focus on the core businesses of the company and increase liquidity with the receipt of the proceeds from the sale,” A Brown said.
Aside from the transaction, A Brown said BRC also purchased several parcels of land within Xavier Estate in Cagayan de Oro City for P8 million.
“BRC opted to purchase the land where the chalets of BRC stand instead of leasing it,” A Brown said.
A Brown is primarily engaged in the business of real estate development. Its subsidiaries operate businesses in power generation, oil palm nursery and seedlings distribution, palm oil milling, real estate brokerage and investment in gold mining assets.