PUBLICLY listed Aboitiz Equity Ventures Inc., together with its partners, has allotted P48 billion in capital expenditure (capex) for 2021, 69 percent higher than the P29 billion spent in 2020 -- a year that saw unprecedented challenges due to Covid-19.
The company, which supplies close to 20 percent of the country’s population through its critical businesses in power, banking and financial services, food, land, and infrastructure, including cement manufacturing, said it will continue to rise above the challenge and deliver on its commitments.
“We continue to invest in our country to support economic recovery and growth, as millions of Filipinos are relying on us —families and communities. Our team members take this responsibility to heart. We simply cannot fail. Over the next 10 years, we commit to investing in capacities to advance business and communities in the nine Asia Pacific countries where we operate,” said Aboitiz Group president and chief executive officer Sabin Aboitiz.
Majority of the budget or P23 billion was earmarked for its power strategic business unit (SBU) Aboitiz Power Corp. for the completion of GNPower Dinginin as well as the battery energy storage projects. The 1,336 megawatt (MW) GNPower Dinginin baseload power plant is currently being constructed in Mariveles, Bataan.
AboitizPower is likewise adding to its portfolio battery energy storage system projects that will help ensure grid stability through sufficient ancillary services, starting with the installation of a 49-MW facility of business unit Therma Marine Inc. in Maco, Davao de Oro.
Meanwhile, Aboitiz InfraCapital Inc. has set aside P13 billion to fund its various projects including its common towers project and for the construction of Apo Agua Infrastructura Inc.’s (Apo Agua) bulk water supply project with Davao City Water District (DCWD) and other water projects. About P2 billion will be earmarked for Republic Cement and Building Materials Inc.
Its food group has allocated P4 billion mainly for feedmill expansion. For 2021, two feed facilities in China, one fish feed line in Malaysia, and three meat distribution channels in the Philippines are slated for completion in order to support the group’s growth initiatives.
Some P3.1 billion will go to Aboitiz Land Inc. for its land banking activities and completion of its residential projects. Currently, AboitizLand is working on Seafront Residences and The Villages at Lipa in Batangas, Ajoya Capas in Tarlac, Ajoya Pampanga in Pampanga and Ajoya Cabanatuan in Nueva Ecija.
Union Bank of the Philippines, meanwhile, will sustain its investment efforts in its digital and branch transformation endeavors. The bank earmarked more than P2 billion in capex in 2021 primarily intended for continued enhancements on digital touch points, as well as constructing an innovation hub, to support customer needs during Covid-19. (PR)