STI Education to buy into West Negros University

The board of directors of STI Education Systems Holdings Inc. approved the acquisition of Bacolod's West Negros University and a holding company with interest in Philippine Women’s University (PWU) in an effort to grow its network of campuses and student population.

 

In a disclosure to the Philippine Stock Exchange (PSE), STI said the board approved during a September 4 meeting the acquisition of controlling stake in West Negros University from the Agustin family, and a subscription to at least 40 percent equity in Attenborough Holdings Corporation (AHC) "under such terms and condition as may be agreed upon by parties."

 

Bacolod City-based West Negros University offers pre-elementary, elementary, secondary and tertiary education and graduate courses.

 

In April, STI executed a memorandum of agreement with the Agustin family for a controlling stake in West Negros University.

 

AHC, on the other hand, owns 20 percent of Unlad Resources Development Corporation, a real estate company controlled by the Benitez family which has some assets used to support the educational thrust of PWU. 

 

"The company shall advise the exchange once definitive agreements are executed by the parties," the disclosure read.

 

In the same meeting, STI director declared a cash dividend of P0.015144 per share totaling P150 million from retained earnings as of August 31.

 

Qualified stockholders are those on record as of September 18, with the dividend payable on September 30.

 

STI Holdings said profits rose to P185.3 million in the April to June from P130.6 million a year earlier, helped by a 4 percent increase in the number of students to 71,195 from 68,363 in school year 2013-2014.

 

Consolidated revenues rose by 3 percent to P330.44 million from P320.43 million mainly on tuition and other school fees.

 

In March, the group said it was embarking on an aggressive expansion program to increase its student population to 100,000 in 2015 from the 68,000 now.

 

The company owns all wholly owned and franchised STI schools, 40 percent of PWU, Jose Abad Santos Memorial School and iAcademy. — Danessa Rivera/VS, GMA News