Alliance Select unit hikes capital

MANILA, Philippines - Big Glory Bay Salmon & Seafood Co. Inc. (BGB), a subsidiary of listed Alliance Select Foods International Inc. (ASFI) plans to increase its capital to P200 million from P94 million.

In a disclosure to the Philippine Stock Exchange, ASFI corporate information officer Rajat Balain said the BGB’s board of directors has decided to increase the company’s paid up capital to P200 million from P94 million.

“Our export volumes to New Zealand, Asia and Japan are increasing and a capital increase will assure BGB can meet the needs of the business in the short term,” ASFI president Jonathan Dee said in a text message yesterday.

Apart from the planned capital hike, the company’s board of directors has also passed a resolution to convert a portion of its advances into equity.

Balain said BGB’s two shareholders, Prime Foods New Zealand Ltd. and ASFI would convert $257,000 in advances into equity.

Prime Foods is also a subsidiary of ASFI.

“As a result, the company’s equity will increase by approximately P22.8 million, depending on the exchange rate used,” Balain said.

All the proposed changes would still require the approval of the company’s shareholders.

Upon securing shareholder approval, the changes would be submitted to the Securities and Exchange Commission for its consideration.

ASFI is engaged in manufacturing, canning, importing, and exporting of food products such as marine, aquaculture and other processed sea food.

It exports its products to Europe, North America, Asia, Africa and South America, and is a private label manufacturer of canned tuna.

As of the first-half, ASFI posted a turnaround profit of $243,293 from losses of $784,102 in the same period last year due to the improved performance of its tuna and salmon business.

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