BY RUFINO T. MAGBANUA
A BROWN Company, Inc. has created a new subsidiary that will engage in the bulk water distribution business in Misamis Oriental, the holding firm said in a disclosure.
A Brown said it “has caused the incorporation of AB Bulk Water Company, Inc. (ABWCI).”
The parent subscribed to the entire outstanding capital stock of ABWCI equivalent to five million common shares at an undisclosed price.
A Brown said the new unit will “engage in the business of holding and providing rights to water to public utilities and cooperatives or in water distribution in the Municipality of Opol, Misamis Oriental.”
It will also be in charge of “securing any needed licenses to engage in such business activities and purchasing or otherwise acquiring, for the purpose of holding or disposing of the same, shares of stock, equity, rights, and property of any person, firm, association, or corporation engaged in industries or activities related to water development, paying for the same in cash, shares of stocks, or bonds of this corporation.”
A Brown had said last year that its P500-million bulk water supply project for Opol was already under way.
The project — done in partnership with the local government — will address the municipality’s needs for an independent water supply system.
Opol has been dependent on Cagayan De Oro Water District but receives only 10% of its 8,000-cubic-meter daily requirement.
A Brown, which serves as public holding firm of the Brown Group of Companies, is primarily engaged in the business of real estate development.
Through its subsidiaries, A Brown has also ventured into oil palm plantation, nursery and seedlings distribution, palm oil milling, mining, power generation and real estate brokerage.
