Puregold Price Club Inc., the Lucio Co-led supermarkets chain, said it has received approval from the Securities and Exchange Commission (SEC) to absorb into its operations Company E Corp., operator of a small chain of grocery stores that it purchased two years ago.
In a disclosure to the stock exchange, Puregold said, “Company E Corp will be dissolved and merged to the surviving corporation, Puregold. Further, all assets and liabilities of Company E will be transferred to and absorbed by Puregold.”
In January 2013, Puregold acquired Marikina-based Company E, owner and operator of supermarket brands Eunilaine Foodmart and Grocer E Supermart, and turned it into a wholly owned subsidiary.
Last month, Puregold acquired nine supermarkets from Nueva Ecija-based property firm NE Inc. in line with its 25-store per year expansion plan. The properties are located in Cabanatuan; Nueva Ecija; San Jose, Nueva Ecija; Baliwag; Bulacan; Baler; Aurora; and Santiago, Isabela.
The supermarket chain has programmed a capital expenditure of P5.5 billion this year in line with its P18.5-billion planned spending from 2015 to 2019 which is aimed at increasing store network by 50 percent.
Last year, Puregold’s consolidated net income advanced by 18 percent to P4.52 billion from P3.83 billion in 2013, while total sales climbed 16 percent to P84.7 billion.
Incorporated in 1998, Puregold primarily operates hypermarkets and retail stores. Its portfolio includes hypermarket format Puregold Price Club, supermarket Puregold Junior, discounters format Puregold Extra, and high-end membership shopping S&R.