Chemical Industries of the Philippines Inc. (Chemphil) is poised to integrate the operations of seven affiliated companies as part of its cost-efficiency strategy.
According to a disclosure made to regulatory authorities, Chemphil’s board has approved the proposed merger of the company with Unioil Group Inc., Addventure Properties Inc., Citiworld Properties and Development Corp., Exquadra Inc., Quantumlink Realty Corp., Buklod Realty Corp., and Rivertanks Inc.
The merger aligns with Chemphil’s strategic objective to evolve into an investment holding company.
Recognizing that the seven other firms collectively manage assets for the same beneficial owners and are integral to a single group, Chemphil underscored the value of merging them to enhance operational efficiency and economy.
Upon completion of the merger, Chemphil will assume ownership of the assets, rights, and liabilities of the seven absorbed companies.
As part of the merger arrangement, shareholders of the absorbed companies will receive Chemphil common shares in exchange for their existing holdings.
The merger’s execution is contingent on obtaining approval from the Securities and Exchange Commission and securing confirmation of non-coverage for internal restructuring from the Philippine Competition Commission.
