A Brown Co. Inc. is expanding its water business after securing authority to subscribe to an additional 20 million common shares in its subsidiary, AB Bulk Water Company Inc., as the group prepares to consolidate its water assets and pursue new projects.
The listed property and infrastructure company said it was authorized to subscribe to the shares at P2 each, for a total investment of P40 million. The shares will be issued as part of an increase in AB Bulk Water’s authorized capital stock.
The subsidiary will also be renamed ABC Water Inc., reflecting a broader mandate that goes beyond its original focus on water-related activities in Opol, Misamis Oriental.
Under the approved amendments, ABC Water will be positioned as the water-holding entity of the A Brown Group, allowing the company to consolidate its existing water operations and related assets under one corporate vehicle.
A Brown said the restructuring is intended to streamline management and operations while creating a platform for the group to pursue additional water-related opportunities, including planned bulk water projects.
The amendments will also give the subsidiary perpetual corporate existence.
Its authorized capital stock will increase to P100 million, divided into 87.5 million common shares and 12.5 million redeemable preferred shares.
The broader mandate gives ABC Water a potentially larger role within A Brown’s portfolio as demand for reliable water infrastructure grows alongside urbanization and economic activity.
The company said the corporate changes are designed to support the group’s water-related investments and provide a more focused structure for developing and managing its assets.
The amendments to ABC Water’s Articles of Incorporation remain subject to approval by the Securities and Exchange Commission.
The move adds water infrastructure to A Brown’s broader portfolio and provides the group with a dedicated vehicle for scaling its presence in the sector.
