from Due Diligencer: Written by
... Quasi-reorganization. With the acquisition of its bank assets and assumption of its liabilities by Asia United Bank, Asiatrust Development Bank will not cease to exist as a stock corporation but will be transformed into a holding company to be named Nextgenesis Holdings Corp. In its latest filing posted on the website of the PSE, it said that it is taking the first step in assuming a new corporate identity by cleansing its books of accumulated deficits by reducing its capital stock. Available financial filings showed the bank had accumulated deficits of P1.724 billion as of June 30, 2010, which it intends to wipe out by reducing its capital. The reduction is part of a quasi-reorganization process, which is implemented in rehabilitating an ailing entity in order to rid its book of deficits. Deficits represent accumulated losses of a company over the years. In the case of Asiatrust, it had outstanding capital of 104.013 million shares, or P1.040 billion. By how much it will reduce its par value of P10 to erase most of its deficits has not been disclosed. The Social Security System is the biggest stockholder of Asiatrust with 19.896 million shares, or 19.13 percent. The two others are Asian Development Bank with 7.871 million shares, or 7.55 percent, and Gloria Garcia with 12.746 million shares, or 7.55 percent.
***potential bakdoor candidate ... just take note