STI acquires West Negros University

MANILA, Philippines - Listed education firm STI Education Systems Holdings Inc. has firmed up its acquisition of a university in Western Visayas.

In a regulatory filing, STI Holdings said it executed a share purchase agreement with stockholders of West Negros University Corp. (WNU).

“Pursuant to the agreement, the company agreed to acquire the shares of the sellers in WNU consisting of 99.5 percent of the issued and outstanding capital stock of WNU,” STI Holdings said.

The Agustin family’s WNU owns and operates West Negros University in Bacolod City. It offers pre-elementary, elementary, secondary and tertiary education and graduate courses.

The final hurdle for the acquisition is the deed of absolute sale.

Early this month, the holding firm led by businessman Eusebio Tanco secured board approval to acquire other schools.

STI Holdings will buy least 40 percent of Attenborough Holdings Corp., which owns 20 percent of Unlad Resources Development Corp., a stockholder of Philippine Women’s University. The company was also allowed to buy into WNU.

STI Holdings allotted P390 million for its schools acquisition program this year while committing to continuously expand its own portfolio with the groundbreaking of two new schools. The expansion program is expected to boost enrolment to as much as 100,000 students in 2015.

Net income of the education firm surged 171 percent to P794.2 million in its fiscal year that ended in March, up from P292.6 million a year ago. It was backed by a six percent increase in revenues to P1.66 billion from P1.57 billion in 2012.