Aboitiz InfraCapital hikes capex by over three-fold to P13 billion

MANILA, Philippines —  The infrastructure arm of the Aboitiz Group has earmarked over P13 billion in capital expenditures this year to pursue projects that would significantly contribute to boost the economy.

Aboitiz InfraCapital’s capex for 2021 is more than triple the P3.7 billion it spent last year.

“This year, we will focus on seeking, creating, recognizing and capitalizing on opportunities,” Aboitiz InfraCapital president and CEO Cosette Canilao said.

“With the Aboitiz Group’s strengths, nationwide presence, and legacy, we are committed to investing in projects that uplift lives and spur growth through better and integrated infrastructure facilities and services,” she said.

The bulk of the capex or P6.5 billion has been set aside for water projects, particularly for the construction of Apo Agua Infrastructura Inc.’s bulk water supply project with Davao City Water District.

Apo Agua is targeted to provide at least 300 million liters of treated water daily to over one million Davao residents once operational. It is one of the largest bulk water supply projects in the country.

Meanwhile, Aboitiz InfraCapital has allocated P2.8 billion for land acquisition and redevelopment efforts to further consolidate its foothold in existing assets and transform its industrial parks into smart and fully integrated economic centers.

The company also plans to spend about P2.5 billion this year for passive digital infrastructure in support of the government’s thrust to improve digital connectivity.

This would involve ramping up the deployment of mobile network operators’ (MNOs) small cells into its pole network and the construction of macro towers, it said.

In February, an Aboitiz InfraCapital subsidiary secured its certificate of registration as an independent tower company from the Department of Information Communications and Technology.

The subsidiary is now working on the rollout of its pilot towers with MNOs.

Aboitiz InfraCapital has also allotted about P1.2 billion from its capex to fund the development of other projects in the pipeline.

With its line-up of infrastructure projects, the company said it is well-positioned to help the economy recover from the impact of the COVID-19 pandemic.

“COVID-19 may have affected our short-term plans, but we remain committed to our businesses, and to the same growth pathway and trajectory. We are here for the long haul and we will continue to take bold and deliberate steps to achieve our growth objectives,” Aboitiz Group president and CEO Sabin Aboitiz said.

Aboitiz InfraCapital is involved in the development of fully integrated economic centers as well as water, digital infrastructure, and transport and mobility projects that advance business and communities.