Puregold Price Club Inc. is set to purchase upscale retailer S&R Membership Shopping, which is owned by businessman Lucio Co, through a share swap worth P16.5 billion.

In a disclosure to the Philippine Stock Exchange (PSE), the country’s second largest retailer said that it obtained board approval for the issuance of 766.41 million common shares from the company’s authorized but unissued capital stock at P21.50 apiece, its closing price on Monday, the day prior to the approval of the transaction.