Corporate News

Aboitiz Construction completes Pilmico’s P295-M feedmill expansion

Posted on July 21, 2016

ABOITIZ CONSTRUCTION Group, Inc. has completed feedmill expansion projects collectively worth P295 million for sister company Pilmico Foods Corp., which faces a growing demand from other market segments like poultry and gamefowl.

In a statement issued on Wednesday, the subsidiary of listed Aboitiz Equity Ventures, Inc. (AEV) announced the completion of Pilmico’s feedmill expansion in Kiwalan Cove, Dalipuga, Iligan City and Sto. Domingo, Capas, Tarlac.

The expansion required an investment amounting to P139 million for the design and construction of the feedmill in Iligan City and P156 million for a similar facility in the Tarlac province.

The contract for the Iligan expansion covered the construction of material foundation, structural fabrication, a motor control building and offices as well as pile driving works.

The contract for the Tarlac expansion, meanwhile, included site development, pile, civil and structural steel works, the provision of a feed mill control room, and the fabrication and erection of hoppers, a large, pyramid-shaped container for particulate matter.

The expansion projects are expected to support Pilmico’s growing sales volume driven by an increased demand from other market segments like poultry and gamefowl, according to Aboitiz Construction.

Pilmico is the food subsidiary of the Aboitiz Group. Established in 1962, the company provides high-quality wheat flour and related products, engages in the production of swine and animal feeds.

“We will continue to serve more affiliates and pursue international projects as we build a global name,” Aboitiz Construction President and Chief Executive Officer Napoleon R. Pe, Jr. was quoted as saying in the statement.

“The awarding of additional major works, not just from existing clients, but from previous ones as well, is highly anticipated,” Mr. Pe added.

Shares in AEV trekked P1.20 or 1.44% higher to P84.40 apiece on the Philippine Stock Exchange on Wednesday. -- Keith Richard D. Mariano