URC takes over one of PH’s largest sugar operations
Universal Robina Corporation (URC) is acquiring from the Roxas Holdings, Inc. (RHI) one of the largest sugar operations in the Philippines.
A report in Manila Bulletin showed that the Gokongwei family, through URC, is set to buy the sugar milling and refining operations of RHI and its wholly-owned subsidiary Central Azucarera Don Pedro, Inc. (CADPI) in Brgy. Lumbangan, Nasugbu Batangas.
The report said RHI and URC have already reached an agreement but the consummation of the Sale Transaction is still subject to satisfactory completion of certain conditions, including the approvals of the Philippine Competition Commission (PCC) and creditor banks.
“We are hopeful that we can get the necessary approvals before the start of the next Crop Year,” RHI Chairman Pedro Roxas said, adding that the sale of the asset is intended to help the group reduce debt.
As of now, the total raw sugar production of the Batangas operations is around 3 million 50-kg bags, or roughly 6 percent of total annual national sugar production.
RHI President Hubert Tubio said that the sale of the firm’s Nasugbu sugar milling and refining facilities will allow them to focus on their operations in Negros.