Calata seals one of biggest agri deals
MANILA, Philippines - Publicly-listed agribusiness firm Calata Corp signed a P1.6 billion-worth supply deal, one of the biggest in the sector.
In a disclosure to the exchange on Tuesday, November 20, Calata said its exclusive supply agreement wih Siembra Directa Corp. will cover 20 years of seeds supplies, agrochemicals, fertilizers, and other farm inputs.
Calata Corporate Secretary Jose Marie Fabella said this agreement is part of the company's aim to become the "top distributor of farm inputs all over the Philippines."
"The Company shall likewise continue to enter into other similar agreements with all other agricultural companies in the country to ensure a continued and strengthened growth in its business and at the same time promote and develop the agricultural industry for the benefit of the Filipino farmers as well," the company said in a letter to the Philippine Stock Exchange (PSE).
Siembra is engaged primarily in all lawful agricultural business activities which include farming activities of all types of agricultural crops.
Calata is currently being investigated on by regulators for alleged stock price manipulation.
The Securities and Exchange Commission (SEC) earlier confirmed that it is investigating trading in a newly listed firm, whose share price spiked over threefold two weeks after its market debut in May.
The SEC acted on a report earlier filed by the Capital Markets Integrity Corp (CMIC), which discovered suspicious trades in Calata's stock.
CMIC is the successor company of a PSE regulatory arm, the Market Regulatory Division (MRD), which was spun off into an independent entity. With CMIC now lies the task of policing the trading activities of brokers and listed companies.
The creation of CMIC is meant to remove perceived conflicts of interest at the exchange, boosting confidence that regulators prioritize the interest of public investors rather than its brokers. - Rappler.com