Alliance Global sets P410-billion capex for 2020 to 2024
MANILA, Philippines – Andrew Tan-led investment firm Alliance Global Group, Incorporated (AGI) allocated P410 billion in capital expenditure for 2020 to 2024 as it sets to future-proof its businesses.
In a regulatory filing on Monday, July 1, AGI chief executive officer Kevin Tan said they are pursuing "an aggressive but organic growth strategy" with their capex program.
"It is our intention to continue to reinvest in these businesses to sustain our growth pace," he added.
The capex for 2020 to 2024 is 8.75% higher than the P377 billion for 2015 to 2019 and an 88.07% jump from the P218 billion set aside from 2010 to 2014.
Megaworld Corporation is taking up 73% of AGI's set budget for the next 5 years, with the funds to be used for township development projects. Megaworld will also use a portion of the budget for its landbanking strategy.
Travellers International Hotel Group, the owner and operator of Resorts World Manila, will receive some 15%.This will be used to develop Westside City Resorts World, which will be built within Pagcor Entertainment City in Parañaque City.
Golden Arches Development Corporation, which holds the McDonald's franchise in the Philippines, will be receiving 5% to fund its expansion, which includes NXTGEN stores.
Emperador will be receiving 4% of the 5-year budget, which will be mainly used for maintenance purposes. The brandy company seeks to deepen its global footprint.
Infracorp Development will be taking the remaining 3%, which will be used to fund infrastructure projects, such as a two-kilometer monorail from Makati City to Taguig City, as well as the Ninoy Aquino International Airport rehabilitation program. – Rappler.com