Universal Robina Corporation signed an agreement to acquire sugar mill, ethanol plant and other investment properties in La Carlota City and an unknown stake in Najalin Agri-Ventures from Central Azucarera de La Carlota, Inc., Roxol Bioenergy Corporation and Roxas Holdings, Inc..

Universal Robina Corporation (PSE:URC) signed an agreement to acquire sugar mill, ethanol plant and other investment properties in La Carlota City and an unknown stake in Najalin Agri-Ventures from Central Azucarera de La Carlota, Inc., Roxol Bioenergy Corporation and Roxas Holdings, Inc. (PSE:ROX) on June 4, 2020. Universal Robina Corporation will use existing funds and borrowings for acquisition. The transaction is subject to approval of the Philippine Competition Commission, regulatory approvals, corporate approvals, third party consent, lender consents and other closing conditions.

As of September 3, 2020, Philippine Competition Commission approved the deal. Universal Robina Corporation's board approved the deal. As on September 18, 2020, Board of Roxas Holdings approved this transaction.

The transaction is expected to close before the start of the next crop year. The RHI Group will use the proceeds of the Proposed Sale Transaction to prepay all long-term debt and reduce short-term debt to levels sufficient for its working capital needs. Aside from the operational synergies that will be achieved between La Carlota and existing Universal Robina Corporation's operations in sugar, this acquisition is also intended to help sugarcane planters increase their productivity, as well as help local communities in Negros by providing more opportunities.