Listed technology firm Xurpas Inc. on Wednesday detailed its multi-pronged plan to reverse its negative equity and maintain its listing on the Philippine Stock Exchange.
Despite previous efforts, Xurpas has seen shareholder equity sink into deficit of P101.7 million over the past year while its retained earnings was a negative P3.5 billion—triggering a warning from the PSE of involuntary delisting.
To further rebuild its financial standing, the company is in active negotiations with prospective investors for a private placement, expected to close in the second half of the year. In addition, Xurpas plans to reissue shares held in treasury and will petition the Securities and Exchange Commission to use additional paid-in capital, helping bridge the equity gap.
Xurpas is also exploring divestment of its investment in Indonesian firm PT Sembilan Digital Investama. “Preliminary discussions with a prospective buyer have commenced, and the company aims to finalize definitive agreements on or before September 2025,” the company said. Proceeds from this sale are expected to improve liquidity and bolster equity recovery efforts.
To strengthen its revenue base, Xurpas is expanding its enterprise services—spanning IT staff augmentation, AI consulting, and bespoke digital solutions for SMEs—while also enhancing its brand positioning through targeted marketing and international expansion.
It said the increased profitability will contribute to addressing the negative equity. Through the multi-faceted approach, the company said it aims to stabilize its financial position, regain positive equity, and build a more sustainable and competitive business moving forward.
Xurpas shares closed Tuesday at P0.241—just one-quarter of their P1 par value—underscoring the urgency behind the equity restoration plan.
