Touch Solutions starts revamp, hikes capital

MANILA, Philippines - Systems software and services firm Touch Solutions Inc. (TSI) has started its reorganization under the management of an offshore investment firm.

In a disclosure to the stock exchange, the company said its board of directors approved the increase in its authorized capital stock to P20 billion from P100 million.

TSI also secured board approval to change the company’s name to TrillionStars Holdings Inc.

The listed firm said it was also allowed to issue new shares out of the increase in authorized capital stock.

The board of directors has yet to finalize the share sale but TSI said the company will “accept cash or non-cash properties as payment for such subscription.”

TSI said it plans to conduct an equity offering through a placing and subscription transaction that will fund the company’s projects.

Early this month, new majority shareholder Shiok Success International Ltd. failed to buy out minority shareholders in TSI.

Shiok Success sought to buy the remaining 18.525 million TSI common shares worth P120 million held by the public. It is approximately 30 percent of the total outstanding common shares of TSI.

In April, Shiok Sucess purchased 43.22 million shares or 70 percent of TSI at P6.48 each, for a total transaction value of P280 million. Shiok Success bought the shares of Demikk Holdings Inc., JKTC Equities Inc., JKTC Land Inc., Tera Investments Inc. and individual selling shareholders Alexander Ng, Andy Paul Uy, Anson Uy and Fenady Co.

Shiok Success was incorporated in the British Virgin Islands as an investment holding company in October 2012. Shiok Success is wholly-owned by Capilion Corp. Pte. Ltd. formed in Singapore in 2006.

“The bidder intends to manage and operate its Philippine businesses through TSI,” the company earlier said.

TSI has figured in numerous market speculations, specifically that of using it as a vehicle for backdoor listing. In December, its share price surged on rumors it will be the backdoor listing company for Mercury Drug of Companies, the largest pharmacy chain in the Philippines.

In April, shareholders approved the change of TSI’s primary purpose to being a holding firm while disposing all information technology-related assets.