ALSONS Consolidated Resources, Inc. (ACR) is considering the sale of its property business as part of its transition into a pure energy company.
The listed firm of the Alcantaras said it was examining its options, whether to sell Alsons Land Corp. (ALC) immediately or develop the land unit first before disposing its shares to buyers.
“We are moving to make ACR a pure power company. This will mean the divesting of our property business,” ACR Executive Vice-President Tirso G. Santillan, Jr. said during the company’s recent annual stockholders’ meeting.
“We are still looking for a more effective way of accomplishing this: is it to dispose [of] ALC now or have ALC develop and dispose of its properties later?” he added.
Alsons will do the business sale in a manner that maximizes its stockholders’ value, Mr. Santillan said.
Its property unit runs the 700-hectare Eagle Ridge Golf & Residential Estate in Cavite, its joint venture project with Sta. Lucia Realty Development, Inc. It also manages the 11-hectare Campo Verde with Sunfields Realty Development, Inc.
In the first quarter, the listed firm saw its earnings rose by nearly three times to P310 million over the same period a year ago.
Its “income-driver” 210-megawatt (MW) Sarangani Energy Corp. coal-fired baseload plant mainly contributed to its profit growth. The plant’s 105-MW second unit, which came online in October last year, helped lift the company’s revenues to P2.21 billion in the quarter, compared with P1.22 billion previously.
ACR owns four power generating companies with a combined capacity of 468 MW. Currently, it is building two projects: the 14.5-MW hydropower plant in Maasim, Sarangani province and the 105-MW San Ramon Power, Inc. coal-fired power plant in Zamboanga City, which are expected to commercially run by 2022 and 2023, respectively. — Adam J. Ang