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CIC acquires tech start-up

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CONCEPCION INDUSTRIAL Corp. (CIC) is investing in tech start-up Teko Solutions Asia, Inc., which has core interests in the appliance service and repair business.

In a statement issued Monday, the listed refrigerator and air-conditioner manufacturer said its wholly owned subsidiary Cortex Technologies Corp. has acquired a majority stake in Teko Solutions, operating under the name teko.ph.

“This acquisition reinforces Cortex’s commitment to explore emerging technology and find ways to leverage it across the CIC’s group of companies, as well as CIC’s focus on building better lives and business,” CIC President and Chief Executive Officer Sean Byrne was quoted as saying in a statement.

Teko Solutions gives customers real-time access to service and repairs for home appliances such as air-conditioners, refrigerators, washing machines, and water heaters. The company said it manages “self-employed, qualified, and screened entrepreneur technicians,” with more than 850 certified technicians within its platform.

The customer and technician interact through Teko Solutions’ website for a seamless experience. Here the customer is asked to submit an appliance service request. The technician will then proceed with the required service at the customer’s most convenient time, according to its website.

“There’s an obvious synergy between Teko and the aftersales services offered by many of CIC’s consumer brands, such as Carrier, Condura, Midea and Toshiba as our consumers demand convenient after-sales service using mobile and web technology,” Mr. Byrne said.

“With Teko.ph’s technology and business model, this venture gives CIC an opportunity to build a nationwide aftersales network creating an appealing employment opportunity for individuals with the right skills, motivation, and entrepreneurial spirit.”

CIC’s attributable profit dropped by 10.5% to P673 million in the first nine months of 2018, on the back of flat gross revenues t P10.34 billion.

Cortex is part of the firm’s investments in technology, which is expected contribute 20-25% of revenues by 2020. CIC said it will spend P80 million to develop the unit.

Shares in CIC jumped 1.65% or 60 centavos to close at P37 each at the stock exchange on Monday. — Arra B. Francia

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