Facebook Instagram Linkedin X Youtube
Home Blog Page 10569

Singapore’s Fraser unloads PHL business for P1.7 billion

SINGAPORE-BASED Fraser Property Ltd. has completely divested from its Philippine operations with the sale of more than P1.7 billion worth of assets in Makati City.

In a disclosure to the Singapore Exchange Securities Trading Ltd., the real estate company said it has sold 100,000 ordinary shares in Frasers Hospitality Investment Holding (Philippines) Pte. Ltd. (FHIH Philippines) to Bond Capital Partners Pte. Ltd. on Aug. 30. This represents 100% of the company’s issued and paid-up capital stock.

The transaction is worth P1.7 billion, plus S$5,938, or about P222,888, coming from the net working capital amount of FHIH Philippines and its subsidiaries on a consolidated basis as of Aug. 30.

The sale price also takes into account S$23.54 million worth of a shareholders’ loan from the company to FHIH Philippines.

“This disposal of a non-core asset is in line with the Group’s strategy. Proceeds from the Group’s active portfolio management initiatives can be redeployed for development and/or enhancement of assets to enhance the Group’s portfolio as well as for general working capital purposes,” the company said.

FHIH Philippines owns, through its subsidiaries, 69 condominium units across different floors in Forbes Tower Manila in Salcedo Village, Makati City. Its hospitality unit, Frasers Hospitality, operated the property as serviced residences under the name Fraser Place Manila.

Following its divestment, the properties will no longer serve as serviced residences.

FHIH Philippines’s net tangible asset value (NTA) stood at S$17.6 million in its financial year ending Sept. 30, 2018.

Fraser Property said the divestment is part of the ordinary course of its business, and is not expected to have a material effect on the NTA per share and earnings per share of the group for the current financial year.

Fraser Property was first established in Australia in 1924, before putting up a headquarters in Singapore. It primarily develops and manages residential, hospitality, retail, commercial, industrial, and logistics properties in several countries such as China, Vietnam, and Thailand.

The group also manages five business parks in the United Kingdom, as well as 51 industrial properties in The Netherlands, Germany, and Austria. It also owns and operates 148 serviced apartments or hotels across more than 70 cities, according to its website. — Arra B. Francia

Wilcon Depot ramps up expansion with Batangas store

LEADING home improvement and construction supply retailer Wilcon Depot continued to ramp up its expansion, opening its third store in Batangas on Aug. 30.

Wilcon Depot opened a new store in Barangay Santa Anastacia in Sto. Tomas, adding to its two stores located in Batangas City and Lipa City.

To date, Wilcon Depot Sto. Tomas is the company’s 55th branch in the country. This is also the company’s fifth store opening this year, after branches in Panacan Valle Verde, Davao City; Sta. Barbara, Iloilo; Opol, Cagayan De Oro; and San Isidro, Antipolo City.

“We are excited and proud to be one of the first movers of this blooming province. This new depot store is a fulfillment of a vision we have, which is to provide an accessible and efficient way for more Batangueños in building, designing, renovating and decorating their homes,” Wilcon Depot Senior Executive Vice-President and Chief Operating Officer Rosemarie Bosch-Ong was quoted as saying in a statement.

The newest Wilcon store has a total sales area of over 11,000 square meters, with a wide array of home building materials such as tiles, sanitary wares, furniture and hardware.

Wilcon carries exclusive top-tier brands such as Grohe, Kohler sanitarywares, Franke kitchen systems, Pozzi bathroom solutions, Kohler whirlpool bathtubs, and Ariston water heaters. The store also carries Italian, Spanish and Asian tile brands.

“For over 42 years, we carry the vision to fill in the gap of Filipino homeowners and builders’ need for home building construction supplies… Now, as the leading home improvement and construction supply retailer, our commitment doesn’t limit us with just providing the high-quality home products but at the same time, giving our valued customers an utmost customer service and convenient and hassle-free shopping experience — which we believe is unlike any other retail store anywhere,” Ms. Bosch-Ong added.

Wilcon also offers free parking spaces, delivery service, and tile cutting service, among others. They also provide a service where customers can create their desired 3D layout through a computer software with a cost estimate and product list at the Design Hub section.

The listed company is ramping up its store expansion this year, with plans to open in San Jose del Monte, Bulacan; Iguig, Cagayan Valley; Makato, Aklan; and Daraga, Albay.

By 2020, Wilcon targets to have 65 stores under its network.

Director Costa-Gavras honored in Venice

VENICE, Italy — Greek-born French director Costa-Gavras has been recognized for his “particularly original contribution to innovation in contemporary cinema” at the Venice Film Festival, where the Oscar winner also presented his new movie about the Greek debt crisis.

The 86-year-old filmmaker, known for Z and Missing, was presented with the Jaeger-LeCoultre Glory to the Filmmaker award late on Saturday.

While in Venice, he also presented the film Adults in the Room, which is adapted from the book by former Greek finance minister Yanis Varoufakis and follows Greece’s bailout negotiations in 2015.

“There’s a lot of muddled politics in Europe, it has to clear itself up one day, not in the way it’s been clearing itself up over the past few years,” Costa-Gravas told a news conference, citing concerns over rising populism.

“I hope that all of that will change.” — Reuters

SSS salary loan releases reach P19.01B in 1st half

THE SOCIAL Security System (SSS) released some P19.01 billion in salary loans in the first six months, up 8.4% year-on-year.

The pension fund said in a statement on Monday that the first-semester salary loan releases rose from the P17.53 billion disbursed in 2018.

SSS President and Chief Executive Officer Aurora C. Ignacio attributed the increase in loan releases to the rise of member-borrowers to 941,716 in the first half from 886,000 in the same period last year.

“Salary loan is one of the most popular loan privileges of SSS. In fact, salary loans represent almost the entire amount of loan releases for the first half of this year,” Ms. Ignacio was quoted as saying in the statement.

The biggest chunk or 846,823 of the member-borrowers were employed members and were granted a total of P17.67 billion in salary loans granted. Meanwhile, 75,465 were voluntary members with P1.08 billion worth of loans released; 10,423 were self-employed with P83.69 million in loans; and 9,004 were overseas Filipino workers granted some P163.07 million in loans.

A one-month salary loan is accessible for an SSS member that has at least 36 posted monthly contributions, six of which must have been paid within the last 12 months before the month of the loan application.

Members who are qualified to receive a two-month salary loan must have at least 72 posted monthly contributions, six of which must have been paid within the last 12 months prior to the month of application.

“Salary loan has a corresponding interest rate of 10% per annum based on the diminishing principal balance and shall be paid over 24 months or equivalent to two years. In case the borrower fails to pay it on time, SSS shall continue to charge a one percent penalty every month and 10% annual interest rate until the loan is fully paid,” Ignacio explained.

In 2018, SSS’ salary loan releases hit P30.5 billion, up 5.3% from total disbursements in 2017. The agency had said the uptick was pushed by an increase in applications through electronic means. — L.W.T. Noble

Hong Kong residential sale grabs buyer interest

HONG KONG’S political crisis doesn’t seem to be putting some people off buying a home in the city.

Subscriptions exceeded the number of units on offer by 14 times at Wheelock Properties Ltd.’s Marini development in Tseung Kwan O, the company said late Thursday ahead of a sales launch that kicked off Friday morning. Sales of new apartments by developers in August are expected to touch 1,400, exceeding June and July’s 1,000 and 1,357 respectively, according to real estate agency Qfang.

“Even though the first-hand market has been slowed by recent economic and political environments, developers are still able to sell well if they price apartments at market level,” Qfang’s Managing Director Vincent Chan said.

Anti-government demonstrations that have sometimes turned violent and that are entering their fourth month haven’t put a measurable dent in property prices. Home values in the secondary market are up 1% since June, when the protests began in earnest.

The unrest may start to have more of an impact if it continues much longer, however, the Bank of America Corp. is predicting a short-term price drop of around 10%. The government is also warning of the economic risks the protests pose. Hong Kong’s Embattled leader Carrie Lam has said the damage resulting from the turmoil could be worse than during the deadly SARS virus outbreak in 2003. — Bloomberg

First Gen picks Japanese firm as EPC contractor for LNG terminal

LOPEZ-LED First Gen Corp. is developing a liquefied natural gas (LNG) terminal in Batangas City. — DENISE A. VALDEZ

By Victor V. Saulon, Sub-Editor

FIRST GEN Corp. has chosen Japan’s JGC Corp. to handle the engineering, procurement and construction (EPC) of its liquefied natural gas (LNG) terminal project in Batangas City, the Lopez-led company said on Monday.

“This marks the conclusion of an extensive EPC tendering phase which commenced in 2014, during which around 22 companies were invited and 18 expressed an interest to participate in the tender process and work on the [FGEN Batangas LNG Terminal] Project,” it told the stock exchange.

First Gen is developing the project through its subsidiary FGEN LNG Corp., which completed pre-development work to make the site construction-ready. The unit held a groundbreaking ceremony in May this year at the First Gen Clean Energy Complex in barangays Sta. Clara, Sta. Rita Aplaya and Bolbok, Batangas City.

Jonathan C. Russell, First Gen executive vice-president and chief commercial officer, said the group was looking forward to working with JGC on the project, which the Department of Energy (DoE) certified last month as an “Energy Project of National Significance.” The certificate allows a faster permitting process, among other perks.

Mr. Russell said the LNG terminal is crucial to ensure the continued operations of the country’s 3.2-gigawatt existing natural gas-fired plants “given the expected and continuing reduction in gas supply from the Malampaya field up to the expiration of the contracts by 2024.”

Ahead of 2024, First Gen said its immediate focus, along with JGC, is to complete a detailed study on modifications that can be made to the group’s existing jetty that would allow the facility to receive large- and small-scale LNG vessels, and to continue to receive liquid fuel.

First Gen will then look to start building the modified jetty “as soon as possible.” The early completion of this work will allow bringing in a floating storage regasification unit (FSRU) on an interim basis during the Duterte administration.

“This would reduce the strain on Malampaya as its reliability continues to decline up to 2024, increasing the energy security of the Philippines and reducing the number of times that FGEN will be requested to run on liquid fuel when Malampaya gas is unavailable,” Mr. Russell said.

The FSRU will allow First Gen to receive LNG as early as 2021, or before the expiration of the Malampaya gas contracts. The LNG storage ship has an onboard regasification plant capable of returning the liquefied fuel back into a gaseous state. The gas can then be supplied directly to some or all of the company’s existing power plants.

Mr. Russell said the early completion of the facility would also enable LNG “to immediately become a fuel choice for any developer that is considering the building of new gas-fired power plants with a lower carbon footprint.”

The move will support the entry of more intermittent renewables as an alternative to building new coal-fired power plants and also offer a potential means for the Ilijan project to receive gas after its contract with Malampaya ends in 2022, he added.

First Gen described the project as possibly “the most significant energy infrastructure project to be undertaken in the Philippines in more than two decades.”

In March 2019, FGEN LNG received the formal approval of its application for a “notice to proceed” (NTP) from the DoE as defined in and required by the Philippine downstream natural gas regulation. The unit has requested the agency to extend its NTP by a further six months.

The entry of JGC comes after First Gen in December 2018 signed a joint development agreement with Tokyo Gas Co., Ltd., which is taking a 20% participating interest in the project. The signing is a preliminary agreement between the parties to jointly pursue development of the LNG terminal.

First Gen described JGC, as focusing on consulting, planning, basic and detailed design, materials and equipment procurement, construction, commissioning, operation and maintenance services for various process plant and facilities, as well as power generation investment and operation, and technology development services.

Established in 1928 in Yokohama, Japan, JGC is listed on the Tokyo Stock Exchange and has built more than 20,000 projects in more than 80 countries, it added.

“These projects have centered on the oil and gas sector, including oil, natural gas, petrochemicals, and gas chemicals, as well as a variety of other business sectors including energy infrastructure,” First Gen said.

On Monday, shares in First Gen rose by 1.14% to P26.70 each.

Taylor Swift album hits 1 million in China

AMERICAN singer-songwriter Taylor Swift may be more popular in China than the US, going by the first-week sales of her latest music.

Lover, the 29-year-old pop star’s seventh album, sold 1 million in China in its first week of release, Universal Music Group said Aug. 29. US sales are expected to reach 850,000 in the period, based on forecasts cited in Billboard magazine Aug. 28. The figures include streaming equivalents. Swift has been among the most popular Western musicians in China, where some of the biggest internet companies are betting on streaming services to lure users. Chinese social media giant Tencent Holdings Ltd., for example, has been negotiating to buy 10% of Universal from Vivendi SA to help it tap fast-growing Asian markets. Released on Aug. 23, Lover has become China’s most consumed international full-length album this year, Universal said. Swift’s two previous albums, 1989 and Reputation, were both certified for over 1 million copies consumed in China. Universal is still waiting to report on the US sales of Lover as of Aug. 29, a spokesman for the company said by e-mail. The album also claimed the biggest sales week for any in the US this year, according to Billboard. As of Aug. 27, it had sold about 750,000. — Bloomberg

AUB targets first bond issuance in Q4

ASIA UNITED Bank Corp. (AUB) is targeting to schedule the maiden issue out of its P30-billion bond program next quarter, which will also mark its debut in the onshore bond market.

AUB Executive Vice President Antonio V. Agcaoili, Jr. told BusinessWorld that AUB’s first issuance out of its bond program will be a fixed-rate note.

“Definitely it will be a fixed rate note. Hopefully we get to issue sometime in mid-Q4,” Mr. Agcaoili said in a phone message.

“No financial details yet as this is all market determined, i.e. coupon and all,” he added.

AUB last week said its board of directors has approved a P30-billion bond program, with terms, details and timing still yet to be set.

The Ng-led lender’s net income went up to P2.6 billion during the first semester, up by 63% from the first half last year.

This translated to a return on equity of 17.6% and a return on assets of 2.2% compared to last year’s 12% and 1.6%, respectively.

The bank attributed the improvement of its bottom line to securities trading and loan growth. — Beatrice M. Laforga

HII to manage Charlie’s El Nido

HOSPITALITY Innovators, Inc. (HII) is continuing to expand its resort portfolio, as it announced it will manage a new boutique hotel called Charlie’s El Nido in Palawan.

“HII is in its next phase of growth as it expands outside of Metro Manila and takes on more resort properties. We are fortunate to have been invited by the owners to assist them in conceptualizing and planning the product and to manage this beautiful boutique resort for them. Charlie’s El Nido is a really exciting new project for HII being located in the prime tourist destination,” Luis Monserrat, founder and chief executive officer of HII, was quoted as saying in a statement.

Charlie’s is located in Km 279 National Hi-way, Barangay Villa Libertad in El Nido. It is on track to open in January 2020. The hotel is named after the little boy of owners Juan Paolo Tumacder and Garet Bacani-Tumacder.

“We chose HII because of their impressive track record and good business practices. We have the same vision in turning Charlie’s El Nido into one of the best boutique hotels in El Nido for many years to come,” Mr. Tumacder said.

The resort will have rooms with exquisite views, a restaurant and bar, fitness center, and a spa.

“There are a number of 2- to 3-star type of accommodations in the city and resorts in Lio. What we have is a boutique hotel at a 4-star level. Charlie’s comes in at a price point that offers quality but at a lower rate compared to other resorts. With 55 rooms, it is more personalized,” Mr. Monserrat.

HII is a hotel and property management company with a portfolio of 20 hotels, resorts, condotels and serviced residences in the country.

Philippine Airlines’ A321neo SR to be used for regional flights

PHILIPPINES Airlines (PAL) has started a new phase of its fleet modernization program with the receipt of a brand-new jet which it will use for regional flights.

The flag carrier said in a statement yesterday the A321neo SR is the first to be delivered out of its order for 15 new planes, the rest of which will be delivered “over the next few years.”

“Our newest A321neo (SR) will become the single-aisle mainstay for regional routes, helping PAL in our mission to boost tourism from the high-producing tourist countries in the region such as China, Japan, Korea and our ASEAN neighbors,” PAL President and Chief Operating Officer Gilbert F. Santa Maria said in the statement.

The new 195-seater plane was added to PAL’s fleet in July and is designed to travel short-haul flights such as those going to East Asian destinations and Guam. It is customized to have a more spacious cabin and legroom than the A321 Classics and A321neos.

“Our passengers will appreciate the more comfortable layout of the aircraft. The A321neo’s new engines, ‘sharklet’ wingtips and other innovations also make the airplane quieter, more efficient and kinder to the environment, which is good news for the planet,” Mr. Santa Maria added.

On Jan. 1, PAL received the last of its six longer-range Airbus A321neos, completing its order of 15 new planes last year, the rest being four A350s and five Bombardier Q400s. The A321neo is now used for non-stop flights going to Brisbane, Papua New Guinea, Sydney and Sapporo.

PAL now has 98 planes in its fleet. Used for long-haul flights are the six Airbus A350-900s and 10 Boeing 777-300ERs. It deploys 15 Airbus A330s for routes going to Asia Pacific, Australian and Middle Eastern destinations. The rest of the fleet are six longer-range A321neos, 24 A321 Classics, 19 A320s, 10 De Havilland Dash-8-400s and classic versions of Q300/400.

The attributable net loss of PAL operator PAL Holdings, Inc. ballooned to P3.33 billion in the first semester, up 138% year on year, fueled by higher expenses mainly due to the increase in depreciation from implementing a new accounting standard.

In July, the carrier welcomed Mr. Santa Maria as its new president, replacing long-time leader Jaime J. Bautista who retired in June.

PAL Vice Chairman Lucio “Bong” K. Tan, Jr. said the company may miss its target of returning to profit this year, but efforts are under way to minimize costs by improving synergies and tapping aviation consultant Lufthansa Consulting GmbH. — Denise A. Valdez

Actor Kevin Hart injured in Los Angeles car accident

ACTOR Kevin Hart suffered major injuries in a car accident in Los Angeles early on Sunday morning, the California Highway Patrol (CHP) said. Hart, 40, was being driven in a 1970 Plymouth Barracuda shortly after midnight on Mulholland Highway when the driver lost control of the car and it tumbled down an embankment, CHP said in a statement. CHP did not elaborate on the nature of Hart’s injuries, but TMZ reported that he injured his back. The driver, Jared Black, also suffered major injuries in the accident, CHP said. He was not under the influence of alcohol at the time, CHP added. Hart, who is known for his stand-up comedy and comic roles in movies including Ride Along, was able to leave the scene of the crash with a second passenger, who was not badly hurt, and head to his home nearby to get medical attention, CHP said. Hart was taken to Northridge Hospital Medical Center and the driver was taken to another hospital. Hart’s publicist did not respond to requests for comment. — Reuters

Pacquiao launches own cryptocurrency tokens

MANILA — Philippine boxing champion Manny Pacquiao launched his very own cryptocurrency on Sunday at a free concert in Manila, where he serenaded more than 2,000 fans to drum up interest in the product.

The 40-year-old boxer, who defeated Keith Thurman to win the WBA Welterweight Super Championship in July and is also a Philippine senator, hopes to cash in on his “Pac” tokens, which will allow fans to buy his merchandise and interact with him via social media.

The “Pac” token will be listed on Singapore’s Global Crypto Offering Exchange (GCOX) and counts Pacquiao and ex-Liverpool and England soccer star Michael Owen as private investors, along with Sheikh Khaled bin Zayed al-Nahyan, a member of Abu Dhabi’s ruling family.

It is the world’s first celebrity cyrptocurrency. Tennis ace Caroline Wozniacki, Owen and singer Jason Derulo also plan to launch their own crypto tokens with GCOX.

“We are not here to raise a lot of money but to build an ecosystem,” GCOX Founder and CEO Jeffrey Lin told Reuters.

At Sunday’s concert, Pacquiao sang songs from his own album which has sold thousands of copies and covers popular love songs.

“Pacquiao is idolized by many. People will be encouraged to check this innovation,” Aaron Baetiong, 38, who attended the concert, said of the “Pac” tokens. — Reuters

1...10,56810,56910,570...14,274Page 10,569 of 14,274
ADVERTISEMENT
ADVERTISEMENT
© 2024 BusinessWorld Publishing.
All rights reserved.
Read our privacy guidelines
Facebook Instagram Linkedin X Youtube