Megaworld targets more BPO spaces in Mactan, welcomes Results as tenant-A A +A
Saturday, August 24, 2013
PROPERTY developer Megaworld Corp. announced yesterday that it’s increasing its leasable office spaces for business process outsourcing (BPO) companies within The Mactan Newtown.
Jericho Go, first vice president of Megaworld, said the developer is adding 150,000 square meters of office spaces in the 20-hectare development within the next three to five years.
He said the expansion plan is buoyed by the significant growth of the BPO industry in Cebu.
Go added the upcoming development is also part of making Mactan the next BPO hub in Cebu. The Mactan Newtown is expected to generate around 40,000 full-time BPO employees by 2018.
“We are looking at adding more office spaces in the next five to seven years if the demand is really high,” he said.
Go cited cheaper labor, abundant manpower, affordable location, and right assistance from the local government as factors that make Cebu ripe for BPO businesses.
Go introduced one of their first BPO locators, The Results Companies (Results Manila), which is formally opening on Aug. 29 at the Mactan Newtown’s One World Center.
According to Go, their entry into Mactan will further strengthen Cebu’s footing as one of the top BPO destinations.
Kevin Betts, The Results Manila’s vice-president for facilities development and administration, said they have invested P220 million for their Mactan expansion.
The Mactan office is the company’s fourth site in the Philippines and its first outside Manila.
During the opening day, Betts said, they will hold a whole-day job fair to attract a total of 1,500 BPO employees for their Mactan operations. The company has hired some 400 employees, mostly Mactan-based.
P880M in 4 years
“We came in late to Cebu but we are the first in Mactan,” said Betts, referring to Mactan’s potential as the next BPO hub in Cebu Province in terms of location and an untapped talent pool.
“Cebu is a home to a great pool of talented, educated people with exceptional drive for exceeding customer expectations. We expanded our office in Cebu to allow us to diversify our locations for our clients and internal business continuity planning,” said Betts in a statement.
Results Manila has already invested P880 million in the Philippines in the last four years. Betts said they plan to grow its employment in the country by 35 percent in the next quarter.
He said they would also be “active and aggressive” in expanding their operations in other sites of the country.
Results Manila is a customer contact solutions provider for many Fortune 500 companies. They offer call center solutions from IT, telephony, data and reporting to training, quality, and center management needs.
The company is headquartered in the US. It already has 4,500 employees in the Philippines.
Megaworld Corp.’s first-half earnings grew by 15 percent to P4.25 billion from P3.69 billion in the same period a year ago.
In a disclosure to the Philippine Stock Exchange, the company reported total revenues of P17.28 billion, up 12 percent from P15.3 billion in 2012.
Rental income from office buildings and malls also contributed to first-half profit growth. Megaworld posted P2.83 billion in rental income at end-June, up 25 percent from the P2.26 billion in 2012.
Published in the Sun.Star Cebu newspaper on August 25, 2013.