STI completes acquisition of W Visayas University

MANILA, Philippines - STI Education Systems Holdings Inc. is now into basic education and graduate school services as it has completed the acquisition of a university in Western Visayas.

The schools chain of businessman Eusebio Tanco expects to be a beneficiary of the government’s K-12 education program, the company said in a disclosure to the stock exchange.

“The company acquired the shares in West Negros University Corp. (WNU) constituting 99.45 percent of the issued and outstanding common stock and 99.93 percent of the issued and outstanding preferred stock of WNU,” it added.

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 acquisition of a controlling stake in WNU will enable STI Holdings to expand its network of educational institutions as well as its course offerings in the tertiary level,” the listed education firm said.

“It will also provide STI Holdings with entry into basic education, which is the focus of the government’s K-12 program,” it added.

WNU will also usher in the entry of STI Holdings into the graduate school level.

Last month, the firm secured board approval to execute acquisitions of 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.

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.

STI’s net income 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.