Alliance Global adopts 5-point strategy to cope with COVID-19

MANILA, Philippines — Alliance Global Group Inc. (AGI) is adopting five strategies to recover from the impact of the coronavirus disease 2019 or COVID-19 pandemic.

“In an age where innovation is the norm, future-proofing our business is an invaluable task. Adapting to change is not new to Alliance Global as we have always been constantly transforming the way we do business through the years as we keep pace with advances in technology while innovating our operations and making them future-ready,”  AGI chairman Andrew Tan said during the company’s annual stockholders meeting yesterday.

AGI’s businesses  include real estate through Megaworld; leisure, entertainment and hospitality through Travellers International; spirits manufacturing through Emperador Inc.; quick service restaurants through Golden Arches Development Corp. (GADC), popularly known as McDonald’s Philippines; and infrastructure developments through Infracorp Development Corp.

His son Kevin, chief executive officer of AGI, said the five strategies would center on sustainability and well-being, earnings diversity, digitalization, financial flexibility and adaptability.

“Businesses should pave the way in co-existing with the virus in order to survive,” the younger Tan said.

For sustainability, AGI’s projects will align with the United Nations Sustainable Development Goals.

Megaworld’s township model remains to be the best example of sustainable real estate, he said.

AGI also prioritizes the well-being of its 85,000-strong employees through the roll-out of various health and wellness programs, and strengthened health insurance coverages.

AGI intends to further diversify and expand its revenue mix to provide for future growth without sacrificing earnings stability.

Overseas expansion is also a priority for Emperador as its whisky business continues to gain momentum in key international markets.

In the area of digitalization, AGI would expand  digital applications in various areas of operations such as online real estate selling; cashless and contactless transactions for its malls, hotel operations and quick service restaurants as well as property management.

Property subsidiary Megaworld is creating AGILE Digital Ventures to spearhead the company’s investments into digital innovations and technology.

Its first start-up project is Pickaroo, an all-in-one, on-demand premium lifestyle app that we will be rolled out this month.

AGI will also maintain financial discipline even as it continues to pursue aggressive expansion plans.

To preserve cash, AGI has reduced its capital spending by almost half to P42 billion from P79 billion and instead focus on projects that are already committed for completion this year.

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