Manila Water invests in Thai firm

MANILA, Philippines — Ayala-led Manila Water Co. Inc. has completed the acquisition of 18.72 percent of Eastern Water Resources Development and Management Public Co. Ltd., a publicly listed water supply and distribution company in Thailand.

“This effectively cements our entry into Thailand and aligns with our internationalization strategy, as we place primary focus on Southeast Asia,” Manila Water president and CEO Ferdinand dela Cruz said.

With the acquisition, earnings contribution from East Water will immediately be recognized in Manila Water’s books, reflecting the terms and conditions under which the transaction has been completed.

Likewise, the board of directors of East Water has elected Virgilio Rivera Jr., Manila Water’s new business operations chief operating officer and chairman of Manila Water Thailand Co. Ltd., as one of its members.

East Water is engaged in the provision of raw water and tap water since 1992 in the provinces of Rayong, Chachoengsao and Chonburi – the country’s main industrial regions.

It also holds concession contracts to operate in 11 different locations and provides water service to several industrial estates – all situated within a total area of 13,285 square kilometers or nearly as large as the whole Calabarzon.

East Water presents significant growth potential by way of the Eastern Economic Corridor, the Thai government’s initiative to further develop the country’s eastern seaboard into a leading economic zone in ASEAN.

Manila Water’s entry in Thailand comes after its foray into bulk water and concession projects in Vietnam, where it is now the largest direct foreign investor in Vietnam’s water sector supplying half of the bulk water requirements of Ho Chi Minh City.

It has also completed pilot projects in Bandung in Indonesia for a non-revenue water reduction program and in Yangon in Myanmar for leakage reduction.

Manila Water covers the east zone which encompasses parts of Makati, Mandaluyong, Pasig, Pateros, San Juan, Taguig, Marikina, most parts of Quezon City, portions of Manila, as well as several towns in Rizal.

It operates three other subsidiaries – the Laguna AAA Water Corp., Boracay Island Water Corp. and Clark Water Corp.