Listed gaming firm Premier Horizon Alliance Corp. is divesting its entire gaming interests in a shift of corporate focus to agribusiness innovations.
In its disclosures to the Philippine Stock Exchange, PHA said it completed the sale of its gaming assets, valued at P527 million, and has invested P80 million to acquire 51 percent of information technology (IT) firm Concepts Unplugged Business Environment Solutions Inc. (Cubes).
“The company is set to embark in new directions in anticipation of the completion of the sale of its gaming assets,” PHA said.
Through a memorandum of agreement, PHA bought the majority controlling stake in Cubes for P80 million, funded by the P527 million raised from the sale of gaming assets.
PHA will set aside the rest of the capital raised from the sale of gaming assets for investments in innovative countryside projects that use advanced technologies in agribusiness and tourism, particularly in food security, natural resources development, shelter and community development.
“[PHA] believes that there are gaps and inefficiencies in the countryside, and where there are gaps, there are opportunities. The company will help address these unfilled requirements through profitable, recurring, replicable, and scalable businesses,” the company said.
“This will help in the development and competitiveness of the nation in preparation for Asean economic integration by 2015,” it added.
Upon the completion of a 30-day due diligence, both parties are set to enter a subscription agreement for PHA to fully acquire the majority interest in the IT firm.
Cubes is responsible for the ThermoChiller system in refrigerators and cold storage facilities that significantly reduce electricity bills and recurring equipment repair expenses. It is the exclusive distributor of this technology in the Asia Pacific region.
“For the Philippines, the technology will be deployed as off grid installations that will utilize alternative fuel sources, specifically biomass, thereby contributing to environmental sustainability by diminishing the dependence on fossil fuels and the electricity grid,” PHA said.
For the first half of the year, PHA reduced its net loss to P3.18 million from P3.92 million last year, while revenues increased to P112.22 million from P89.07 million a year ago.
PHA’s has six entertainment and gaming subsidiaries: Digiwave Solutions Inc.; Redstone Construction and Development Corp.; First Ardent Development Corp.; Premium Events Palace Inc.; PHA Metro Leisure Inc., La Prima Hotel Imperiale Inc.; Premiere Show Biz Inc.; and Premiere e-Teleservices.