SEC approves merger of Aboitiz companies

The merger of Aboitiz Transport Systems Corp. (ATS) and its subsidiary Zoom In Packages Inc. (ZIP), initiated to help rein in costs, was approved by the Securities and Exchange Commission. In a statement Tuesday, ATS said that the SEC approved on July 7 its petition to merge with one of its units, with the parent firm as the surviving entity. “The merger… will enable ATS to provide integrated service offerings to its clients ranging from full container to loose cargo loads and will improve the effectiveness and efficiency of the delivery of freight services of ATS as well as achieve more effective management and cost efficiencies for both companies," the company said. ATS is the holding company of the Cebu-based Abotiz family’s ventures in the transportation sector. The merger would have no impact on ATS’ equity structure or the value of its shares, with its officers and directors keeping their present positions. All ZIP employees will receive a separation pay, according to ATS. The merger was approved by shareholders of both companies in their respective stockholders’ meetings in May. ZIP is engaged in moving loose cargo, and provides integrated logistics solutions such as door-to-door pick-up and delivery of goods, warehousing and storage, distribution, supply chain management, and loading and re-loading of cargo on any air, land, or sea carrier. –VVP/VS, GMANews.TV