LISTED mobile content provider Xurpas Inc. bought a 70-percent controlling interest in a software consultancy, design, development, and managed services firm focused on mobile, cloud, and data technologies.
In separate disclosures to the Philippine Stock Exchange, the company said its directors approved on Thursday the acquisition of 70,000 shares of Seer Technologies Inc. for P18 million or P257.14 per share.
This is Xurpas’ sixth acquisition since its maiden public offering in November last year, and is in line with plans to expand in the Philippines and Southeast Asia. It has so far spent $7.686 million or P346.8 million in acquisitions.
Xurpas is buying P10 million worth of Seer shares, with P8 million to be drawn out of Joseph Benjamin R. Ilagan’s stake in the company. Ilagan is the mobile tech firm’s president and majority stockholder.
“Xurpas will also pay an earn out amount corresponding to a fixed percentage of Seer’s net income after tax for the years 2015 to 2017 based on its audited financial statements, as an incentive for Seer’s management to continue to improve its financial performance in the immediately succeeding years after the acquisition,” the statement read.
“The acquisition of Seer enhances our ability to provide mobile solutions for our enterprise clients. As consumers move from being web to mobile-centric, corporations will need to have a strong presence on phones, tablets and other devices,” Nix Nolledo, Xurpas president and chief executive officer, said in a separate statement.
Seer is a mobile technology firm developing mobile applications. It posted P70 million in revenue last year.
In the first quarter of the year, Xurpas grew its net income after tax by 27 percent to P59.2 million from P46.7 million a year earlier as revenues perked rose by 52 percent to P132.2 million from P86.76 million.