ALI logistics unit hikes stake in LTI

MANILA, Philippines — AyalaLand Logistics Holdings Corp. (ALLHC), the logistics arm of Ayala Land Inc., has increased its stake in Laguna Technopark Inc (LTI).

In a disclosure yesterday, ALLHC said it purchased 8,051 shares of LTI equivalent to 20 percent of the latter’s outstanding capital stock from ALI for P800 million.

“With this acquisition, ALLHC increased its equity in LTI from 75 percent to 95 percent or a total shareholding of 38,237 common shares,” ALLHC said.

ALLHC, formerly Prime Orion Philippines Inc. (POPI), said the transaction supports its  vision to be the leading real estate logistics and industrial parks developer and operator in the Philippines.

At present, ALLHC has interests in real estate and property development, leasing of warehouses and retail electricity supply, with the following subsidiaries: Orion Land Inc. (OLI), Orion Property Development Inc., LCI Commercial Ventures Inc., Ecozone Power Management Inc. and LTI.

OLI wholly-owns Tutuban Properties Inc.(TPI) which holds the lease and development rights over Tutuban Center in downtown Divisoria. At present, TPI continues to revitalize the operations of the Center, with the upgrade of its buildings and facilities, rezoning of the mall and introduction of unique retail and wholesale concepts in Tutuban.

In 2016, ALLHC entered into a deed of subscription with ALI whereby the latter will subscribe to 51.06 percent equity interest in the company. With this transaction, ALLHC will be able to benefit from the expertise and resources of ALI and optimize the development of its property assets, especially Tutuban Center.

ALI first acquired the 20 percent equity interest owned by Mitsubishi Corp. in LTI last February.

LTI, for its part, is building a new factory within the 11-hectare Laguna Technopark.

The factory will generate over 60,000 square meters of gross leasable area, bringing ALLHC’s real estate logistics total gross leasable area to 200,000 square meters by October 2020.

ALI aims to post a net income of P40 billion by 2020 by steadily expanding outside Metro Manila, toward Mega Manila, Calabarzon and Central Luzon which account for 62 percent of the country’s gross domestic product.

At present, ALI has at least 25 estates across the country.