Metro Manila (CNN Philippines, March 18) — The Aboitiz Group is again ramping up investments this year to boost its expansion, it said Friday.
In a statement, the conglomerate said it set aside around ₱69 billion in capital expenditure, more than twice the ₱27 billion last year.
“The substantial budget increase will be used to fund the growth plans for 2022 and beyond as it approaches the coming years with balanced optimism,” said the company.
Its infrastructure business units will have the lion’s share at ₱29 billion. A departure from its usual power segment pick, it said the move is in line with its long-term goal of balancing its portfolio.
Some ₱7 billion will go to Aboitiz InfraCapital’s economic estates, ₱5 billion for expanding its telco tower business, and another ₱5 billion for other digital infrastructure projects.
Meanwhile, ₱3 billion will fund the completion of AIC’s bulk water project in Davao City seen to supply more than 300 million liters of safe and sustainable water to locals.
The rest of the budget will go to the infrastructure firm’s other projects, along with major maintenance and safety-related capex of Republic Cement.
AboitizPower and its partners get the second largest chunk of the total capex at ₱28 billion for the development of solar power, hydro power, and better energy storage systems. The funding will also be used to improve baseload plants’ reliability, added the group.
Pilmico and Gold Coin Group, which comprise Aboitiz’s food segment, have assigned ₱6 billion for various projects like expanding feed mills in China and Vietnam. The firms will also be increasing the agribusiness division’s capacities nationwide – with a third breeder farm set to be finished this 2022.
Union Bank of the Philippines, meanwhile, has set aside over ₱3 billion to boost digital channels and platforms, transforming its branches, and building its capacity and that of its subsidiaries.
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AboitizLand also set aside ₱2 billion for launching new phases of its Foressa Mountain Town project in Cebu and The Villages at Lipa in Batangas.
“Over the next 10 years, we will be more committed than ever to investing in accelerated growth and diversification. We will advance business and communities in the 9 Asia Pacific countries where we operate by providing products and services that are not just life-essential but life-changing,” said Aboitiz Group president and chief executive officer Sabin Aboitiz.
