Bulk of capex to go to power and food
Aboitiz Equity Ventures (AEV), along with its strategic business units (SBUs), aims to spend a total of P77.6 billion in capital expenditures (capex) this year as it continues to advance business and communities amid vibrant growth opportunities at home and abroad.
“In 2018, our outlook remains positive and we remain committed to grow and expand our businesses while keeping within financial and risk parameters. We aim to deliver on our brand promise of advancing business and communities through the various products and services we provide,” Erramon I. Aboitiz, AEV President and Chief Executive Officer, said.
This year, a bulk of AEV’s capex will be used to finance projects in power and food – two SBUs that are keen on expanding overseas.
The power SBU’s capex is set at P61.6 billion for the year as it remains on track, along with its partners, to increase net sellable capacity to 4,000 MW by 2020 from nearly 3,000 MW as of end-2017. Bulk of its capex this year will be channelled toward various robust growth initiatives that balance sustainability, accessibility, and reliability of power.
For the food SBU, P4.6 billion will be spent to further grow and strengthen its core domestic business while going international and expanding abroad in the ASEAN (Association of South East Asian Nations) region.
For the land SBU, P4.5 billion has been programmed for strategic land development and acquisition initiatives, with several real estate launches currently in the pipeline for 2018.
For infrastructure, Aboitiz is allocating P4.4 billion, bulk of which will go to operating expenses and investing in infrastructure-related projects that will help drive economic progress and improve the quality of life of the Filipino people.
For the banking and financial services SBU, P2.4 billion will be allocated to the unit’s digital transformation, (among other initiatives), which in turn will help bring the right products and channel to the unbanked and underbanked sectors.
The remaining amount of approximately P102 million will be used by AEV for expansion, upgrades, and operations.
In 2017, AEV and its BUs spent a total of P35.3 billion.|- PR / #BALIKAS_News
