THE construction arm of the Yuchengo group has partnered with Japanese firms to expand its construction equipment business in the Philippines and in Southeast Asia.
In a statement Monday, EEI Corp. said it signed a partnership agreement with Showa Leasing Co. and Saiga Co., Ltd., Japan.
“The parties have agreed to set up a new Philippine based joint venture corporation primarily for the purpose of managing new and second hand construction equipment with the vision to expand its services to Southeast Asia,” the company said.
EEI also noted that the Japanese firms are looking to expand their footprint in the country.
Founded in 1969, Tokyo-based Showa Leasing is part of the Shinsei Bank Group of Japan and describes itself as a general leasing company present in 15 locations across Japan. Its capital stood at 29.36 billion yen as of June 28, according to its website.
Saiga Co. is a crane rental company established in 1967 that operates a fleet of more than 100 cranes. It also has an affiliate company in Dubai. Its services include crane leasing, heavy transportation or installation, plant construction, vehicle inspection, and building and engineering works, according to its website.
Meanwhile, EEI has been operating in the country since 1931 through the installation and construction of power generating facilities, oil refineries, chemical production plants, and cement plants, among others. It is also engaged in a number of construction projects abroad.
EEI’s net income attributable to the parent went up 15% to P326.09 million in the first quarter of 2019, following a 30% uptick in gross revenues to P5.62 billion.
The company is part of the Yuchengco group, which also has interests in banking, financial services, property development, and education. Its market capitalization is currently at P11.32 billion.
Shares in EEI jumped 2.56% or 28 centavos to close at P11.20 each at the stock exchange on Monday. — Arra B. Francia
