Paxys to offer 50M shares to workers

Paxys Inc., one of the fastest-growing call center firms in the country, will offer 50 million shares to its officers and employees under its Employees Equity Plan (EEP). The number of shares is equivalent to five percent of the company’s total outstanding common shares as of end-2004.

The shares will be offered to 23 eligible officers and employees of Paxys and its sole subsidiary Advance Contacts Solutions (ACS) at a discount of 25 percent to 50 percent of the market value of the shares at the time of grant.

The company has approved a holding period of not exceeding 15 days to be fixed each time a grant is made under the EEP. Thus under the EEP, a stockholder will not be able to sell or transfer shares for a limited period commencing on the issue/reissue date of the shares until after the lapse of the holding period.

Paxys reported a 176-percent jump in net profit last year, boosted by new clients and new markets. Its net income reached P339.23 million compared with P122.9 million a year earlier.

Service income grew 115 percent to P1.4 billion from P600 million, mainly coming from work programs from new US-based clients, which started on production in various months last year.

The increase in service income is also attributable to additional services and promotions of a local client that requires additional number of seats and to the increase in production of old clients. From only 800 seats beginning 2004, ACS, ended the year 2005 with 3,000 seats.

The company’s interest income surged 1,072 percent due to interest earned by the parent company from investing the net proceeds from the rights offering into short-term placements.

ACS also contributed 754 percent of the increase in interest income. This was due to ACS’ drive to properly manage its available cash.

To sustain gains, Paxys is looking at further firming up its presence in Australia.