Splash to sell stake in Medical City

ABS-CBN News

Posted at Jun 16 2008 01:57 PM | Updated as of Jun 16 2008 09:57 PM

In a bid to divest from non-core operations, beauty products maker Splash Corp. is selling its stake in a hospital in Pasig City for P200 million.

In a statement, the company said its board has approved a plan to sell 50,000 shares in Professional Services Inc., owner of the Medical City Medical Center in Pasig.

"This is the only non-core business we have. We want to divest from it because we want to offer our shareholders more value. This doesn't generate much return on assets," company chief financial officer Noel Manucom told abs-cbnNEWS.com in a phone interview.

Manucom noted, however, that the company has no prospective buyers yet. "We just had to disclose the plan."
 
Earlier, Splash entered into an agreement with a subsidiary of Villar-led Vista Land & Lifescapes Inc. for the development of its property located at the Ortigas business district which Manucom said "we also consider as non-core."
 
Splash sells personal care products. Among its popular brands are Biolink, Extract, Maxipeel, Extraderm and SkinWhite. It eyes to launch 21 new products in the Philippines this year.
 
The company, which already has presence in over 20 countries in Asia, Middle East and North America, plans to enter into new markets like Canada, Malaysia and Hong Kong.
 
Splash's divestment of shares in Professional Services Inc. came two months after Lopez-owned Benpres Holdings Corp. sold its 18-percent stake in the said company to affiliate Lombard Asia III for P600 million.