Solid Group, Inc.’s board of directors has approved a plan to acquire Avid Sales Corp. for P100.2 million, the firm said on Thursday.
In a disclosure to the Philippine Stock Exchange, the company said the acquisition “will expand the current distribution business segment of Solid Group.”
The acquisition price is less than 10% of Solid Group’s total consolidated assets and is less than its threshold amount for material related-party transactions.
According to its website, Avid Sales retails and markets audio and video electronics. It is also into information technology products related to audio and video services. It has a total of 26 retail stores mostly in Metro Manila malls.
Avid Sales is a privately held company of the Lim family, also the majority stockholder of Solid Group.
In its disclosure, the company said that the acquisition will be submitted for ratification at its next stockholders’ meeting, which is scheduled on the last Thursday of June each year. Solid Group, an investment holding company, has other electronics-related subsidiaries including SolidService Electronics Corp., My Solid Technologies & Devices Corp., and Omni Solid Services, Inc.
On the stock market on Thursday, shares in Solid Group added two centavos or 2.47% to 83 centavos each. — Justine Irish D. Tabile