Aboitiz Group eyeing infra projects in Cebu

CEBU, Philippines — The Aboitiz Group remains bullish on its ongoing projects in Cebu as it also looks into the potential of building small solar and water infrastructure projects in Cebu, an official said.

In a recent interview, Manuel Lozano, chief finance officer of Aboitiz Equity Ventures, said the group is looking for some solar installation projects with its customers here.

"We're looking at test cases early next year," he said.

Lozano also said that Cebu is one of focus areas deemed by the group’s infrastructure unit for water-related projects.

"On the infra side we're looking at Cebu as one of our focus (areas)," he said, noting the group is keen on collaborating with the Metro Cebu Water District (MCWD) in exploring other sources of water.

However, Lozano could not readily provide specific details of these plans.

Meanwhile, Aboitiz Power is finishing its 340-megawatt in Toledo City, Cebu which is expected to be operational within the first half of next year.

The group's property unit Aboitiz Land is also undertaking various land projects in Cebu particularly the mixed-use project in Mandaue City called the Gatewalk Central.

The 17-hectare project is in partnership with Ayala Land and is envisioned to become a dynamic new city center with an Ayala mall and residential and office buildings.

For its part, Aboitiz Land is spending P4 billion for the first phase of the project. The company also has several residential projects in Cebu, with Foressa in Balamban, a horizontal project, being the latest project launched this year.

Lozano said the property company will probably launch one or two projects in Cebu next year.

In the first nine months of 2017, AEV saw a 7-percent year-on-year decline in net profit to P15.9 billion due to slower earnings from its banking, food and cement businesses alongside non-recurring foreign exchange losses.

Its power business grew its income contribution to AEV by 4 percent year-on-year to P12.1 billion as its net income for the period increased by 4 percent to P15.7 billion.

Income from power generation grew by 22 percent year-on-year to P14.2 billion, accounting for 80 percent of AP’s business.

The distribution business, meanwhile, reported a P3 billion income share or 4 percent higher from the previous year.

Property arm Aboitiz Land recorded a net income of P340 million, up 128 percent year-on-year, attributable to higher revenues booked by the industrial business unit coupled with higher sales and notable construction progress by the residential business. (FREEMAN)