ANI divests from 3 subsidiaries
AgriNurture Inc. (ANI), one of the country’s leading fresh mango exporter, is divesting from three of its subsidiaries to focus on its core business of exporting fruits.
In a disclosure to the stock exchange, ANI said its board has approved its divestment from Sunshine Supplies International Co. Ltd., Qualis Logistics and Transport Services Inc., and Hansung Agro Products Corporation.
ANI said it is divesting from the Hongkong-based Sunshine Supplies International Co. in favor of another stakeholder. Sunshine Supplies International trades agricultural products such as mangoes, onions, garlic, potatoes in Hong Kong, Macau, China, and Europe.
The company is divesting its 51-percent share in Qualis Logistics and Transport Services, which transports goods, passengers, and merchandise by land in the Philippines.
ANI divested its 100-percent stake in Hansung Agro-Products Corporation in favor of a third party.
Hansung Agro Products exports mangoes to Korea and but also wholesales, imports, and exports other agricultural products. Hansung Agro-Products Corporation was divested to offset advances made from a third party.
“The subsidiaries divested are considered to be noncore and nonperforming assets of the Company, hence it is expected to unload the Company of other overhead and operational expenses,” ANI said. “Other core subsidiaries and the Company has existing payables/liabilities for services rendered by Qualis Logistics and Transport Services, Inc., hence part of the consideration was to offset said payables.”
The company said the divestments will increase its cash, reduce its liabilities, and improve its cash flow.
ANI’s net income was more than halved to P485.8 million last year from 2014’s P1.2 billion because of the decline in its exports. (By: Eileen A. Mencias)