THE Securities and Exchange Commission (SEC) has approved MacroAsia Corp.’s plan to set up its food business joint venture in Cebu, in the company’s latest push to expand beyond aviation services.
In a stock exchange filing on Tuesday, MacroAsia said the regulator approved the incorporation of MacroAsia Jolliant Food Services Corp., a partnership between its unit MacroAsia New Ventures, Inc. and Princess Jolliant.
The venture will operate the existing food commissary of Princess Jolliant in Cordova, Cebu, while developing a larger food production facility to serve the Visayas market. Princess Jolliant makes, preserves, packs and distributes food products.
MacroAsia New Ventures earlier invested P64.47 million for a 49% stake in the joint venture, which is expected to begin operations by the fourth quarter. The project will let MacroAsia diversify its portfolio and strengthen its foothold in the Visayas region.
MacroAsia’s core businesses include aircraft maintenance, airline catering, ground handling, property development and water utilities. The move into food manufacturing marks a strategic extension of its catering expertise into retail and commissary operations.
In the second quarter, MacroAsia’s attributable net income fell 15.3% year on year to P365.78 million, as higher costs and weaker revenues weighed on earnings. Gross revenue declined 3.5% to P2.46 billion, while total expenses rose 10.9% to P2.33 billion.
At the Philippine Stock Exchange on Tuesday, MacroAsia shares climbed 4.07% or 18 centavos to close at P4.60 each. — Ashley Erika O. Jose
