Facebook Instagram Linkedin Twitter Youtube
Home Blog Page 10324

DBP’s Borromeo to take helm at LANDBANK ‘soon’

Land Bank of the Philippines (LANDBANK)
DBP President and CEO Cecilia C. Borromeo will take the helm at Land Bank of the Philippines.

DEVELOPMENT BANK of the Philippines (DBP) President and Chief Executive Officer Cecilia C. Borromeo is set to take the helm of state lender Land Bank of the Philippines (LANDBANK) “very soon.”
This was confirmed by incumbent LANDBANK President and CEO Alex V. Buenaventura, who said he will step down from his position “at the pleasure of President Rody,” referring to President Rodrigo R. Duterte.
“Cecil Borromeo (will take over) upon her oath-taking to be conducted by [Department of Finance Secretary Carlos G.] Dominguez very soon,” Mr. Buenaventura said in a text message yesterday.
Mr. Buenaventura said he will go back to Davao to manage the hotel and restaurant business of his family.
Ms. Borromeo is expected to be the new LANDBANK chief after she was appointed as a member of LANDBANK’s board of directors, according to documents released by the Presidential Communications Office on Tuesday.
She will “serve the unexpired term of office that began on 01 July 2018 and will end on 30 June 2019, vice Alex V. Buenaventura,” the documents showed.
Philippine Guarantee Corp. President and CEO Emmanuel G. Herbosa was appointed as a board member of DBP to replace Ms. Borromeo, whose term ends on June 30.
Sought for comment, Mr. Dominguez said Ms. Borromeo will transfer to LANDBANK “probably at a later date.”
He said there will be a reshuffling among heads of state-owned lenders “to improve service to the public.”
Ms. Borromeo worked for LANDBANK for 27 years before her appointment as the president and CEO of DBP in January 2017. She has a degree in Agribusiness from the University of the Philippines and a Master’s degree in Business Administration from the De La Salle Business School. — Karl Angelo N. Vidal

WeDoctor considers listing a spin-off on new tech board

WEDOCTOR, one of China’s biggest online health care start-ups, is considering spinning off a major slice of its business and listing it on the country’s soon-to-created technology board, according to people familiar with the matter.
WeDoctor is weighing a listing of at least part of its cloud-services arm amid a broader restructuring, the people said, requesting not to be named because the matter is private. That division amasses sensitive personal data by serving local governments and hospitals, and Beijing prefers to keep information related to that business in-country, the people said. The spin-off would join the first batch of companies on the much-anticipated tech bourse, intended to help innovative enterprises secure capital at home rather than abroad.
Backed by Tencent Holdings Ltd., WeDoctor joins a growing contingent of tech giants hoping to uproot a health care industry that’s been largely impervious to online disruption. The start-up, whose business spans insurance policies to appointment-booking and physical clinics, is trying to unclog bottlenecks in a Chinese health care market slated to hit 8 trillion yuan ($1.2 trillion) by 2020. It was last valued at $5.5 billion.
WeDoctor declined to comment in an emailed statement. The move is still under discussion and its plans could change, the people said.
While China has some of the world’s biggest technology companies, many from Alibaba Group Holding Ltd. to Tencent are listed in the US or Hong Kong. The new science and technology board of the Shanghai stock exchange is the brainchild of Xi Jinping, who unveiled the concept in November. Regulators see it as a way to keep the country’s most promising companies from going public abroad.
Beijing however has a patchy track record with attempts to entice the nation’s tech champions. An effort to lure companies back with so-called Chinese depositary receipts, which would allow domestic investors to hold stakes in overseas-listed Chinese companies, petered out rapidly.
With the new board, companies could face laxer listing rules compared with existing exchanges, a boon to tech startups that have racked up losses in the pursuit of growth. Venture capital house Zhenfund said in November that as many as 10 of its portfolio companies could head for the board.
It’s unclear when it will open for business. Shanghai’s exchange has held numerous meetings this year with executives from more than 100 brokerages and investment houses to solicit feedback on final rules.
WeDoctor’s proposed move doesn’t preclude the start-up from considering alternative venues if the need arises. It had earlier acquired or invested in a slew of in-vitro fertilization companies from Australia and Hong Kong to mainland China, including Genea and BBlink. It’s now consolidating those businesses and may also try to spin off that entity in the US, according to one person familiar with the matter. — Bloomberg

Mass housing developer plans to acquire Cebu firm

MASS HOUSING developer 8990 Holdings, Inc. is expanding into the upscale property market with the acquisition of Cebu-based property firm GENVI Development Corp.
In a statement issued Wednesday, the listed firm said it is finalizing the acquisition of GENVI Development, which develops high-end properties in Cebu including integrated community Monterrazas de Cebu.
“The acquisition of Monterrazas de Cebu firms up our intention to expand 8990 Holdings into other real estate segments that have proven to have strong demand in the past years,” 8990 Holdings President and Chief Executive Officer Willibaldo J. Uy said in a statement.
8990 Holdings said details of the acquisition, such as the purchase price, will be disclosed once the deal is finalized.
The company described Monterrazas de Cebu as the largest and last remaining contiguous mountain property in Cebu City, spanning more than 200 hectares.
GENVI Development has already launched several properties in Monterrazas de Cebu as part of the first phase, including high-end residential project The Peaks in 2007. It is also developing an upscale subdivision North Ridge.
8990 Holdings said it will continue the development of these projects after it completes the acquisition.
Since its establishment, 8990 Holdings has specialized in housing projects for the affordable market. Its largest project to date, Urban Deca Homes Tondo, offers houses priced from P1.4 million to P2 million. — Arra B. Francia

Remembering the Battle of Manila


FORT SANTIAGO was the “epicenter of evil” where “the Japanese used starvation as a weapon.” American mining engineer Frank Bacon recalled having only two bowel movements in 25 days; Chinese prisoner Ko King Hun dropped to 68 pounds from 118 in two months, to the point that he could wrap his thumb and index finger around his leg. People were starving in the city of Manila as World War II raged.
Then came the Battle of Manila and for a month, from Feb. 3 to March 3, 1945, the city’s districts burned and the 300-year-old walled city of Intramuros was reduced to rubble as the Japanese occupiers engaged in an orgy of violence — rapes, beheadings, immolations, and many more horrors — while the Americans fought street by street to fulfil Mr. McArthur’s promise. Manila’s residents were caught in the middle — it is estimated that 100,000 civilians died during the month-long battle.
American author James M. Scott gathered testimonies, after-action reports, and survivor interviews about the horrors of the month-long battle for his new book, Rampage: MacArthur, Yamashita and the Battle of Manila.
“As a historian and as a writer, you’re always looking for what story has not been told,” Mr. Scott said during the book’s launch at the Ayala Museum on Feb. 12.
The book is divided into four parts which include the events revolving around American General Douglas MacArthur’s vow to return to the Philippines after being forced to escape from Corregidor, the Japanese plans to defeat the Americans, testimony from the war victims, as well as photos and sketches of street fortifications, and maps depicting troop advances. Mr. Scott recounts details of the battle vividly.
During the launch, Mr. Scott noted Gen. MacArthur’s argument with then US president Franklin D. Roosevelt about the United States’ obligation to assist the Philippines.
“(MacArthur) was absolutely right that there was a huge moral commitment by the United States with the need to come back to liberate the Philippines at the earliest possible moment. And also, it’s really important to recognize [that if] the United States [had] not come back to Manila in February, it would have been a different type of catastrophe here. You may have saved the buildings just from being destroyed from fire… but 500 people a day were starving to death — that those numbers were going to climb exponentially,” he said.
“I think one of the most important thing about this story for people to remember is that this is a battle that was borne almost entirely on the backs of the civilians. One hundred civilians died for every one US soldier,” Mr. Scott told BusinessWorld shortly after the book launch.
“So, [if] you really think about that, buildings can be replaced and homes can be rebuilt, but the lives cannot. And that’s what I hope people remember. This is the price paid for war.”
Rampage: MacArthur, Yamashita and the Battle of Manila is available at National Bookstore and Fully Booked for P1,645. — Michelle Anne P. Soliman

The ROI of a digital mind-set

By Niño Valmonte
IPC Director for Marketing & Digital Innovation
GLOBAL SPENDING in digital transformation is expected to reach $1.7 trillion at the end of this year or a 42% increase from 2017, as data from research firm IDC show. While this figure illustrates how serious organizations are in adopting technology, it is alarming to note that companies still fail in the venture.
In an international survey, 450 heads of digital transformation efforts admitted that 90% of their digital projects failed to meet expectations and only delivered incremental improvements. Why? Because they lacked agility when developing new applications. Note that most of the said respondents are from enterprises, which have a large pool of resources at their disposal, and yet they still fail to meet their goals.
This boils down to a company’s mind-set as it goes through digital transformation. If the plan is to just install new technology and expect it to work on its own, it will most likely fail. While infrastructure and technology are clearly important considerations, digital transformation is as much about the people and changing the way they approach business problems and where they look to find solutions. To put it simply, a digital mind-set is as important as the technology. There are many tools to choose from, but if a company doesn’t have the proper mindset, all of it will mean nothing.
Cloud, big data, and artificial intelligence are some of the digital forces disrupting the world today, affecting every aspect of life and business. For organizations to thrive, they must first be able to create and implement a mind-set that accounts for the major shifts caused by these forces, lest they become overwhelmed and fall short of their goals, as the case of the aforementioned respondents shows.
A digital mind-set is not merely the ability to use technology. Rather, it is the attitude and behavior that enables people and organizations to foresee possibilities and opportunities. By instilling a digital mindset, an organization can reap the innumerable benefits of digital transformation, which include but are not limited to the following.
A CULTURE OF COLLABORATION
Using new technology cultivates collaboration in the workplace. This is often a central component of successful digital transformations: leveraging programs that enable and enrich collaboration from anywhere, on any device, at the same time. Allowing peers to work in this manner allows for collaboration beyond traditional face-to-face interactions and e-mail, and also reduces barriers that impede productivity. New and dynamic experiences such as cloud-based file sharing will create a productive and collaborative culture.
IMPROVED EFFICIENCY AND FLEXIBILITY
Digital organizations move faster than traditional ones, and new technologies help speed up decision-making. A major benefit of any digital transformation initiative is the streamlining of existing processes to support newer, more efficient business capabilities. New digital platforms minimize disruptions on day-to-day productivity and allow IT staff to focus on higher-priority projects. Imagine if IT personnel could spend less time responding to end user requests and more time on initiatives that will help move the company forward. Workers also becomes more productive as they garner new competencies around modern application capabilities.
FASTER TIME TO DELIVER
Enhanced collaboration and productivity also come with higher chances of quickly bringing out new products in the market. Better teamwork with others can quicken the refinement of ideas that result into action, which is critical when a company wants to release something before all others do. Moreover, peers can instantly validate whether an idea will have merit and help build upon that idea while at the same time making production faster.
DATA-DRIVEN CUSTOMER SERVICE
An extraordinary customer experience leads to strong customer loyalty, bigger sales, and more new customers. Fortunately for enterprises and small businesses, digital technology has brought them closer to customers than ever before.
Using customer relationship management (CRM) software has become a popular approach in collecting and analyzing information from customers. Companies utilize this to store contact information, accounts, leads, and sales opportunities in one central location. Data analytics then provides a better understanding of customers’ preference and behavior, allowing businesses to improve their product and service offerings and ultimately affect the bottom line in the affirmative.
Now, it’s up to top management to act as digital role models for the rest of the company. They must lead the way and be open to all opportunities. Only then will others follow suit, and the company can fulfill the much-needed agility to successfully integrate new technologies and make the most out of them.
 
IPC or IP Converge Data Services, Inc. is an Internet data center, telecommunications and cloud services company, providing local and regional enterprises with managed data services and business solutions. IPC is an ePLDT company.

BPI posts higher net income in 2018

BANK OF THE Philippine Islands (BPI) posted a higher net income in 2018 on the back of strong revenues.
In a disclosure to the local bourse on Wednesday, the Ayala-led bank said it posted a full-year income of P23.08 billion in 2018, up 3% from the P22.42 billion it booked in 2017.
For the fourth quarter alone, BPI’s net income grew 13% to P6.07 billion from the P5.37-billion income tallied in the same period in 2017.
BPI’s total revenues reached P78.52 billion in 2018, up 10.6% from the prior year, driven by the 16.2% growth in its net interest income, which reached P55.84 billion.
The bank attributed the growth in its net interest income to the 9% increase in average asset base as well as the 21-basis-point increase in its net interest margin.
Total loans stood at P1.35 trillion in 2018, 12.7% higher from P1.2 trillion tallied in the comparative year-ago period, driven by the growth in its corporate and credit card loans which stood at 13.3% and 23.8%, respectively.
BPI’s non-performing loan ratio was at 1.85% as of end-2018.
Deposits, on the other hand, stood at P1.59 trillion in 2018, up 1.5% from P1.56 trillion a year ago. Current and savings accounts (CASA) grew 2.4% year-on-year, with a CASA ratio of 71.9%. Its loan-to-deposit ratio was at 85.4%.
BPI also booked higher fee-based income from its transaction-based service charges, credit card and rental businesses. However, this growth was tempered by lower trust and investment management fees, corporate finance fees, as well as securities trading income.
The lender also logged higher operating expenses at P43.6 billion in 2018, up 13.2% due to higher manpower, premises, technology and other operating costs.
Meanwhile, the bank set aside P4.92 billion in provisions for losses in 2018, 29.7% higher than the year-ago level.
“The capital that we raised in 2018 allowed us to invest in our ongoing digitalization program, and in our high yielding SME (small and medium enterprises), consumer and microfinance businesses,” BPI President and Chief Executive Officer Cezar P. Consing was quoted as saying in the statement.
In December, the bank raised P25 billion via peso-denominated peso bonds, carrying a tenor of 1.25 years and an interest rate of 6.797% per annum.
It also completed a P50-billion rights offer in May, with the proceeds funding its business operations and expansion.
The bank likewise raised $600 million in August through a drawdown from its $2-billion medium-term note program, which it said was the largest issuance by a local lender in the offshore debt market.
“The returns from these investments will become apparent in the coming years. We’re quite excited by what 2019 offers,” Mr. Consing added.
BPI is one of five domestic banks — with the others being Land Bank of the Philippines, BDO Unibank, Inc., Rizal Commercial Banking Corp. and Metropolitan Bank & Trust Co. — that have exposure to the troubled Hanjin Heavy Industries and Construction Philippines at $52 million.
In Jan. 8, the South Korean shipbuilder filed for corporate rehabilitation before an Olongapo court, leaving some $412 million in outstanding loans from the five banks.
BPI shares stood at P89.75 apiece on Wednesday, up 20 centavos or 0.22% from the previous close. — Karl Angelo N. Vidal

Chevron awards service contract to Harbor Star

HARBOR Star Shipping Services, Inc. said it will provide Chevron Philippines, Inc. with tug assist and mooring services for the next three years, starting this month.
In a disclosure to the stock exchange on Wednesday, the listed company said it signed a Tug Assist and Mooring Service contract with the local unit of energy giant Chevron Corp.
“(Harbor Star) will provide harbor assist and mooring services to tankers calling Chevron’s terminals in Batangas, Cebu, Davao and Misamis Oriental,” the tug assist operator said.
Chevron, which markets Caltex fuels, lubricants and other petroleum products in the Philippines, awarded the contract to Harbor Star after a competitive bidding and selection. The contract started on Feb. 1, 2019.
Chevron operates an import terminal in San Pascual, Batangas. It also has 20 supply facilities throughout the country.
“This (Chevron deal) is in line with (Harbor Star’s) direction to continually enter into exclusive service contracts with customers to guarantee recurring revenue,” it said.
Last year, Harbor Star had also signed a service contract with GNPower Kauswagan Ltd. Co. which will run until December 2019.
“[L]ast December 2018, (Harbor Star) entered into a service contract with GNPower to exclusively provide the docking, undocking and emergency requirements of vessels calling GNPower’s terminal in Lanao del Norte,” the company said.
Harbor Star is a tug assist operator with presence in 15 base ports in the country, including the Manila International Container Terminal and the Manila South Harbor.
In the nine-month period ending September, Harbor Star posted a flat attributable net income of P66.26 million from P65.73 million during the same period in 2017. — D.A.Valdez

A night of commemoration

MANILA TRANSITIO 1945 is an event that commemorates a city lost and thousands of lives sacrificed during the Battle of Manila in 1945, collateral damage in a war not of her own making. Caught in a clash between the armed forces of the United States and Japan, Manila, once known for its architectural beauty and gracious citizens, had been battered and brought to her knees. Over 100,000 of the city’s civilians lay dead. Instead of processing what happened, the nation washed out the blood, buried its dead, and forgot about the horrors of that fateful month in 1945. Now on its 10th year, the Manila Transitio is a yearly commemoration to honor the city and the 100,000 who were lost, through art and poignant revelry. The event is a public picnic, with an art exhibition, a community ritual, and open air performances. It will be held on March 2, 5 p.m. onwards, at the Baluarte de San Diego, Intramuros, Manila. Entrance fee is P200.

4G network congestion?

THE CONTINUED GROWTH of fifth-generation (5G) network is expected to ease the problem of inconsistent connection in the fourth generation (4G) platforms, OpenSignal, which maps wireless coverage worldwide, said. Read the full story.
4G network congestion?

How PSEi member stocks performed — February 20, 2019

Here’s a quick glance at how PSEi stocks fared on Wednesday, February 20, 2019.

 
Philippine Stock Exchange’s most active stocks by value turnover — February 20, 2019.

President signs health care bill, new corporate code into law

PRESIDENT Rodrigo R. Duterte on Wednesday signed the Revised Corporation Code and the Universal Health Care Act.
In his speech after the ceremonial signing of the laws, Mr. Duterte said the Revised Corporation Code “seeks to simplify corporate governance standards and establish a more business friendly environment that will enable corporations and other juridical entities to thrive.”
The Revised Corporation Code is the amended version of the 38-year-old Batas Pambansa Bilang 68 or the Corporation Code of the Philippines, which provides the rules and regulations in the establishment and operation of stock and nonstock corporations. Its Senate version, Senate Bill No. 1280, introduces the “one-person corporation” to address problems in filling up the current requirement of at least five stockholders for a corporation.
The measure also grants perpetual corporate life as the default option for applicants.
On the Universal Health Care Act, the President said: “By automatically [enrolling] our citizens into the National Health Insurance Program and expanding PhilHealth coverage to include free medical consultations and laboratory tests, the Universal Health Care Law that I signed today will guarantee equitable access to quality and affordable health care services for all Filipinos.”
Senator Risa N. Hontiveros-Baraquel, who serves as vice-chairperson of the Senate committee on health and demography and a co-sponsor of the measure, said in a statement that the new law requires “all Filipinos to be guaranteed equitable access to quality and affordable health goods and services and to be protected against financial risk.”
To do this, the Senator said, the law requires that all Filipinos be automatically included in the new “National Health Insurance Program,” along with access to other population-based and individual-based health services.
Senator Joseph Victor G. Ejercito, chairman of the same committee, is the principal author and sponsor of the measure. Its House version was authored by former congressman and Palace spokesman Herminio L. Roque, Jr.
The President also led the presentation of the previously-signed Redistricting Southern Leyte Act, the Social Security Act of 2018, the Philippine Sports Training Center Act, and the Amendments to the New Central Bank Act. He also announced that the Bangko Sentral ng Pilipinas remitted to the national government partial dividends amounting to P4 billion.
Officials present during the ceremony were former President and Speaker Gloria Macapagal-Arroyo and the other members of the House of Representatives; Senate President Vicente C. Sotto III and the other members of the Senate; Executive Secretary Salvador C. Medialdea; and Cabinet Secretary Karlo Alexei B. Nograles and other members of the Cabinet. — Arjay L. Balinbin

5G expected to ease network congestion

THE CONTINUED GROWTH of fifth-generation (5G) network is expected to ease the problem of inconsistent connection in the fourth generation (4G) platforms, OpenSignal, which maps wireless coverage worldwide, said.
An OpenSignal report published on Wednesday, “The 5G Opportunity: How 5G will solve the congestion problems of today’s 4G networks,” noted the immediate benefits of 5G in terms of resolving congestion issues with the 4G network.
“5G is usually touted because of its speed, but more significantly 5G will provide a solid foundation of capacity that will iron out the wild fluctuations we see in 4G speeds today,” it said.
The report, which evaluated data from 94 million devices across 77 countries in 2018, found that 4G download speeds in the Philippines could fall as low as 6.9 megabits per second (Mbps) at certain times of day, with peak performance at 19.0 Mbps.
Of the 77 countries in the study, the Philippines was 11th in speed variability, or the difference in download speeds between the fastest and slowest recorded levels. OpenSignal said a wide range indicates greater congestion pressure on networks.
The firm noted that the 4G network is challenged by shifting Internet speeds throughout the day because of the heavy traffic on its frequency bands. But with the coming of 5G, “high-bandwidth, high-frequency spectrum bands” are expected to increase network capacity.
“[T]he new 5G bands will open up hundreds of megahertz of new extremely high frequency spectrum for mobile broadband use, delivering much greater capacity to minimize the effect of congestion,” OpenSignal said.
The average download speed in the Philippines is currently 9.4 Mbps, with the 6.9-Mbps slowest hour kicking in at 9 p.m., when the network is most congested.
OpenSignal said the 5G network will eventually be necessary as inconsistent connection in a 4G network may soon be detrimental to certain use-cases in the future.
“As the mobile Internet evolves, these fluctuations in speed will become untenable… Future mobile apps and services won’t just demand fast speeds but will need consistent connections,” it said.
Smart Communications, Inc. commissioned its first two 5G cell sites in late 2018, and is expected to add more locations further this year. Globe Telecom, Inc., is also scheduled to launch its 5G services in the second quarter.
Smart is the wireless unit of PLDT, Inc. Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a majority stake in BusinessWorld through the Philippine Star Group, which it controls. — Denise A. Valdez
4G network congestion?

1...10,32310,32410,325...13,232Page 10,324 of 13,232
© 2024 BusinessWorld Publishing.
All rights reserved.
Read our privacy guidelines
Facebook Instagram Linkedin Twitter Youtube