Corporate News

Ionics answers CMIC query on unusual price movement

Posted on September 22, 2015

LISTED electronics manufacturer Ionics, Inc. told the Philippine Stock Exchange (PSE) it is unaware of any information that caused its share price to surge, after the local bourse’s independent regulatory unit asked that it disclose material information.

“In reply to your letter of even date, we are submitting herewith a sworn certification as to the absence of any undisclosed information that could have triggered the unusual price movement of Ionics today, 18 September 2015,” Ionics Corporate Secretary and Corporate Information Officer Manuel R. Roxas wrote in a Sept. 18 letter to the Capital Markets Integrity Corp.

The company’s share price spiked by 49.68% to close at P2.32 apiece last Friday from P1.55, pushing the shares up by 286.67% year-to-date.

On the same date, volume went up by 42.57% to 103.8 million traded shares from 72.8 million the day before.

Mr. Roxas said that after an inquiry from the board of directors as well as the President and Vice-President for Finance, “I hereby certify that the corporation is not aware of any material undisclosed information that could have triggered” the price movement, except for a newspaper report that said it was partnering with Canadian technology firm LeoNovus, Inc. Ionics had denied the report in a Sept. 18 disclosure, saying “Ionics, Inc. has not entered into any agreement with LeoNovus, Inc.”

This developed after Ionics announced early this month that it was tapped by International Business Machines Corp. (IBM) for the creation of the US tech giant’s Internet of Things platform.

Ionics subsidiary Ionics EMS, Inc. will be the “key design partner” and ensure the hardware’s specifications will match the platform.

Ionics shares yesterday added 68 centavos or 29.31% to close at P3 apiece. -- Daphne J. Magturo