AC Energy, partner to start building Vietnam wind farm

May 7, 2019 | 12:03 am

AC Energy, Inc. has signed a shareholders’ agreement with its Vietnamese partner in wind energy development, initially committing to build 40 megawatts (MW) at a cost of around $92 million for completion in the first half of 2020 its parent firm said on Monday.

In a disclosure to the stock exchange, Ayala Corp. said its energy platform had signed the agreement with The Blue Circle Pte. Ltd. to jointly construct, own and operate the Mui Ne wind farm at the Binh Thuan province in the southeastern coast of Vietnam.

“Mui Ne project will be AC Energy’s first wind power project in Vietnam. AC Energy is very keen to participate in the fast-growing Vietnam power sector, with pioneering investments in renewable energy,” said Patrice Clausse, chief operating officer of AC Energy International Holdings Pte. Ltd.

The construction of the 40-MW first phase will start immediately at an estimated cost to be financed by debt and equity, the Ayala group said, adding that the wind farm has an expansion potential of up to 170 MW.

AC Energy accounts for more than 62% of the economic ownership including its 50% direct voting stake.

Project completion of the first phase is expected in the first half of next year, in time for the new wind feed-in-tariff deadline of November 2021, it added.

“We are delighted to partner with The Blue Circle, and this strategic partnership builds on our combined expertise, strong financing capabilities, and robust development pipeline,” Mr. Clausse said.

AC Energy quoted Olivier Duguet, The Blue Circle chief executive officer, as saying that after four years of development, permitting, and securing land, he was “very pleased” to start the construction of the Mui Ne wind project with the initial phase.

“The site has world class winds and will be equipped with the first 4MW turbines of Southeast Asia demonstrating the professionalism of The Blue Circle teams and our technology leadership,” Mr. Duguet said.

The project company awarded Vestas the supply and installation contract for 10 V150-4.2 MW wind turbines, as well as a 10-year AOM5000 energy-based service agreement, AC Energy said.

It said the Vestas V150-4.2 MW wind turbine is considered as one of the highest producing turbines in the industry and is thus expected to deliver a competitive cost of energy for the project.

AC Energy said it was scaling up its renewable energy investments and is an active participant in Vietnam’s renewable energy sector.

In November 2018, AC Energy through its subsidiary AC Energy International acquired a 25% ownership of The Blue Circle as well as co-investment rights in the latter’s projects. AC Energy and its partner will jointly develop, construct, own and operate The Blue Circle’s pipeline of around 2,000 MW of renewable energy projects across Southeast Asia, including 700 MW in Vietnam.

The Ayala company said its partner developed and constructed one of the first wind farms in Vietnam, Dam Nai JSC. AC Energy owns and operates the first wind farm in Southeast Asia, North Wind Power.

On Monday, shares in Ayala Corp. closed lower by 0.22% at P898 each. — Victor V. Saulon

Henry VIII’s first wife in new show

May 7, 2019 | 12:03 am

LONDON — English Tudor King Henry VIII and his six wives are a staple tale of costume dramas — now a new television series is turning viewers’ attention to the story of the first, Catherine of Aragon.

The Spanish Princess, a British-American production based on two books by Philippa Gregory, stars Game of Thrones actress Charlotte Hope in the title role and Stephanie Levi-John as her black lady-in-waiting, Lina de Cardonnes. Also in the cast is Laura Carmichael from Downtown Abbey.

“We get an opportunity to tell (history) from the perspective of women and to tell the stories of black people,” Hope told Reuters in an interview. “I think it’s not only really important but also really exciting that we get to explore something that hasn’t been explored yet.”

Catherine of Aragon (1485-1536) was betrothed to Arthur, the Prince of Wales and heir apparent to the English throne, as a young child.

The eight-part series follows her journey from sunny Spain to grey and drizzly England. When Arthur suddenly falls ill and dies five months into their marriage, Catherine finds herself a widower in a strange land, aged only 16.

Seven years later, after receiving the blessing of the pope on the premise her marriage to Arthur was never consummated, Catherine is married to his younger brother, who has just been made king.

Henry VIII ruled England from 1509 to 1547. He famously divorced Catherine against her will, consequently breaking from Rome to become the head of the Church of England.

“We always hear the stories from Henry’s side so… it’s really nice to sort of flip it on its head and be like actually there was another side to the story too,” Ms. Levi-John said. — Reuters

CoA rules in favor of SMPC on dispute with PSALM

May 7, 2019 | 12:02 am

SEMIRARA Mining and Power Corp. (SMPC) expects to sit down with the Power Sector Assets and Liabilities Management Corp. (PSALM) to settle its money claim against the agency, after the Commission on Audit (CoA) ruled in favor of the Consunji-led company, company officials said.

“Matagal ng ’yung Supreme Court ruling kaya lang hindi ma-enforce dahil walang CoA ruling. So nakuha ’yung CoA ruling lately (The Supreme Court ruling is old but it could not be enforced because it lacks CoA ruling. So the CoA ruling was received lately),” SMPC Chairman and Chief Executive Isidro A. Consunji said in a press briefing after the company’s annual stockholders’ meeting at the Manila Polo Club in Makati City on Monday.

SCPC is claiming the amount of P476,703,077.96 plus interest at 6% per annum computed from extrajudicial demand until actual payment in the case decided by the Energy Regulatory Commission in 2011 that went all the way to the Supreme Court.

The company told the stock exchange that the CoA decision is dated April 22, 2019 but was furnished to the company only on Monday.

The case stems from a petition filed by SMPC subsidiary Sem-Calaca Power Corp. (SCPC) against National Power Corp. (Napocor) and PSALM to declare as invalid Napocor’s nomination for the supply of electricity to Manila Electric Co. (Meralco) beyond 169,000 kilowatts (kW).

SCPC also sought to recover the amount charged and withheld by PSALM for spot market purchases to cover the deficiency in connection with Napocor’s over nominations for Meralco for January to June 25, 2010.

The ERC ruled that SCPC’s obligation under its contract is to deliver 10.841% of Meralco’s energy requirements but not to exceed 169,000 kW capacity allocation, at any given hour.

The obligation to deliver started from Dec. 2, 2009 when the physical possession, occupation and operation of the Calaca, Batangas power plant was formally turned over to SCPC.

The ERC said Napocor and PSALM have no basis, in fact and in law, to charge against SCPC the nominations beyond the 169,000 kW capacity that Napocor allegedly bought for Meralco from the wholesale electricity spot market.

It said there being no basis to charge SCPC, PSALM must return all the payments of Meralco, which were withheld by the government agency. This includes the amount representing the cost of electricity nominated and purchased by Napocor beyond the 169,000 kW from the spot market from January 2010 to June 2010.

“I think they (PSALM) will negotiate on the interest,” said Junalina S. Tabor, SMPC vice-president and chief finance officer, adding the interest payment is subject to CoA computation.

John R. Sadullo, SMPC vice-president for legal, said on the court procedure there was an opportunity for PSALM to appeal, although the move may just be moot and academic.

“There’s already a decision. As a government agency I think they should also abide by the decision. Anyway, it took a very long time for this decision to come out,” he said.

“Before the CoA decided on this as a money claim, we already went up to the Supreme Court. Actually, the CoA is implementing the decision of a final and executory judgement of the Supreme Court. So for us, it’s going to be moot and academic even if they try to do some procedural delay,” said Mr. Sadullo, who is SMPC corporate secretary and counsel.

On Monday, shares in SMPC slipped 1.46% to close at P23.65 each. — Victor V. Saulon

RLC’s The Magnolia Residences to receive award

May 7, 2019 | 12:02 am

ROBINSONS Land Corporation (RLC) said its project The Magnolia Residences in Quezon City will receive an award at the Asia Pacific Property Awards (APPA) in Bangkok this May.

The four-tower residential project, which is part of the five-hectare Magnolia Town Center, is recognized as award winner for the Philippines. It will also compete against other Asia-Pacific development in the Best Residential High-Rise category.

The Magnolia Town Center was previously named by APPA as the Best Mixed-Use Development in the Philippines 2013-2014.

“The Asia Pacific Property Award recognition is a testament to RLC’s unwavering commitment to continuously craft high-quality developments that truly add value to Filipino lives,” said Henry L. Yap, senior vice president and business unit general manager of RLC Residential Division.

Security Bank posts higher Q1 earnings

May 7, 2019 | 12:02 am

SECURITY BANK Corp. recorded slightly higher net income in the first quarter on the back of growth across its core businesses.

In a regulatory filing on Monday, the listed lender said it posted a P2.38-billion net income in the first three months of the year, 1.5% higher than the P2.35 billion recorded in the same period last year.

Net interest income grew 15% to P5.8 billion in the January-March period from P5 billion last year.

Total loans stood at P412 billion, up 12% from P367 billion in the first quarter of 2017, with retail loans growing 49% year-on-year. Currently, retail lending accounts for 23% of the bank’s total loan book, up from a 17% share a year ago.

On the funding side, total deposits increased 10% to P461 billion, as low-cost deposits grew 11% from the comparative year-ago period.

These resulted in a net interest income from consumer loans and deposits worth P4.7 billion, up 29% from the same period a year ago.

Meanwhile, non-interest income also grew 39% year-on-year to P1.8 billion in the first quarter. Service charges, fees and commissions stood at P857 million, 26% higher compared with P683 million a year ago, driven by credit cards, loan fees, bancassurance, deposit charges and stock brokerage.

Security trading gains amounted to P671 million in the first three months, up from the P416 million recorded in the same period in 2017.

Total revenues reached P7.6 billion in the first quarter, climbing 20% year-on-year.

Cost-to-income ratio improved a tad to 53.7% in the period from 53.9% in 2018 despite the 22% growth in operating expenses year-on-year.

Security Bank’s expense growth was mainly driven by gross receipts and documentary stamp taxes and manpower costs.

Overall, the lender’s total assets reached P763 billion as of the first quarter, up 9% from P703 billion in 2018.

Asset quality remained healthy, with gross non-performing loan (NPL) ratio at 0.75%, while NPL reserve cover increased to 186% from 111% a quarter ago. The bank set aside P295 million for provisions for credit losses.

Shareholder’s capital was at P111 billion, with total capital adequacy ratio and common equity Tier 1 ratio standing at 16.5% and 19%, respectively. Return on shareholders’ equity was at 8.6%.

The bank expects its loan portfolio to grow by mid-teens this year at 13-15% driven by robust expansion of its retail lending book.

Security Bank shares closed at P180 each on Monday, dropping P1.20 or 0.66% from its previous finish. — Karl Angelo N. Vidal

Twilight rises again, this time as a concert tour

May 7, 2019 | 12:02 am

LOS ANGELES — Twilight is coming back from the dead with a live concert that will tour the world.

Movie studio Lionsgate on Thursday announced that the vampire book and movie romance that had millions of hearts swooning is being adapted for an international live to film event.

The Twilight in Concert tour will feature a full orchestra performing the original movie score timed to a screening of the first of the five Twilight films.

The Twilight movie franchise, based on the best-selling novels by Stephenie Meyer, tells the story of American teenager Bella Swan who falls in love with mysterious Edward Cullen, who is a vampire.

The five movies, released between 2008-2012, took some $3.3 billion at the global box office and launched the careers of actors Kristen Stewart, Robert Pattinson and Taylor Lautner. Meyer’s four novels have sold more than 120 million copies worldwide.

Lionsgate said in a statement that it hoped the concert tour would “continue to expand the world of Twilight and introduce it to legions of new fans around the world.”

The tour will begin in Brazil in August and be followed by stops in Australia and Britain.

Concerts based on movies and television shows have become a popular way of extending entertainment franchises, with television series Game of Thrones and movie The Hunger Games, Star Wars and Harry Potter all finding large global audiences. — Reuters

Rythmic standout

May 7, 2019 | 12:01 am

Persona Dancing:
Endless Night Collection
Sony PlayStation 4

IT HAS been 16 years since Atlus thought to release Revelations: Persona on the Sony PlayStation. Expectations were modest then, with the title taking on many of the features of the Megami Tensei franchise from which it drew inspiration. Regardless of outlook, however, it wound up being a sleeper hit, in the process building an extremely loyal fan base and jump-starting a series with immense crossover appeal. For all its humble beginnings, it spawned an intellectual property giant. Boasting of memorable characters, killer soundtracks, and storylines that transcend genres, it now carries a name synonymous to great gaming — a veritable seal of quality that ensures unparalleled entertainment value.

To be fair, Atlus hasn’t simply been banking on name recall to deliver outstanding sales figures with every Persona release. Certainly, all the eggs hatched by its trusty goose have been, well, golden in characteristics and, thusly, deserving of critical and commercial recognition. Such is likewise the case with Persona Dancing: Endless Night Collection, which carries with it a PlayStation 4 port of PS Vita smash Persona 4: Dancing All Night and the all-new Persona 3: Dancing in Moonlight and Persona 5: Dancing in Starlight. Simply put, they’re rhythm games presented in ways and profiles unique to the series.

Picking up from where Persona 4 Golden left off, Persona 4: Dancing All Night has the Investigation Team reuniting to help member Rise Kujikawa regain her footing in show business. En route to the scheduled performance at the Love Meets Bonds Festival, however, the intrepid cast finds its interest piqued by more than just dancing lessons. The entire Kanamin Kitchen — likewise slated to make an appearance in the event — has disappeared, evidently transported to an alternate dimension.

To save Kanami Mashita and company, the team will have to face Shadows and a mysterious figure who holds the puppet strings via battles at the Midnight Stage. In Persona 4: Dancing All Night, these set-tos involve dance-offs, underscoring its rhythm-game interface. As in the ubiquitous Project Diva series, gamers are required to keep track of notes traveling over predetermined areas by pressing the right buttons at the right times and in the right sequences. A conscious contrivance to fit the unique gameplay in Story Mode? Perhaps. Considering the dark themes and its serious underpinnings, a complete commitment to role-playing elements can be argued as superior.

Nonetheless, there can be no denying the pull of Persona 4: Dancing All Night through the three difficulty settings and the Free Dance option on tap. It works because of the smoothness of the controls and the catchiness of the music tracks. And, precisely because of the depth of the narrative and the richness of its characters, it stands as one of the best offerings in the rhythm genre, bar none. Parenthetically, the remaster is head and shoulders better than the Vita version; on the PS4 Pro, colors stand out and sounds are crisp, enhancing the emotional resonance while navigating through familiar tunes.

In contrast, Persona 3: Dancing in Moonlight and Persona 5: Dancing in Starlight provide no overarching storylines. Instead, their progression is founded on more lighthearted premises. The narrative moves along via social links offering specific information on protagonists and triggered by additional character unlocks. Objectives are completed in the Velvet Room, where members of both the Specialized Extracurricular Execution Squad and the Phantom Thieves dream of facing off.

Meanwhile, the gameplay of Persona 3: Dancing in Moonlight and Persona 5: Dancing in Starlight is identical to that of Persona 4: Dancing All Night. Only in the character rosters, song lists, and background presentations do they differ. Needless to say, dance animations are extremely fluid, if not quite jibing with the chords. Difficulty is likewise three-tiered, with reasonable jumps to provide a fair challenge. At no time do the titles feel like they’re presenting Sisyphean hurdles to artificially inflate replay value.

Under the circumstances, prevailing biases will likely inform the preferences of gamers who go through Persona Dancing: Endless Night Collection. True, Persona 4: Dancing All Night has a built-in advantage for being first mover, as well as for retaining a more substantive story. On the other hand, Persona 3: Dancing in Moonlight and Persona 5: Dancing in Starlight offer technically advanced graphics and sound mixes. In short, each title has pros and cons, and usage figures to be determined by personal partiality to specific characters and soundtracks.

In sum, Atlus manages to justify Persona Dancing: Endless Night Collection’s $100 price tag by leveraging on its intellectual property’s rich history. Even in a hitherto-unfamiliar genre, it succeeds in banking on the Persona franchise’s biggest come-ons. As far as rhythm games go, its offering doesn’t exactly break the mold. But because it lays claim to a distinctively fleshed-out look and feel, it winds up standing out all the same.

THE GOOD:

• A heady collection of games featuring characters from three Persona series

• Smooth interface, with nary any input lags

• Memorable track lists

• Difficulty levels present fair challenges

THE BAD:

• Remixes are a mixed bag

• Narratives of two of the three titles on offer lack depth

• Visuals don’t always reflect gameplay progress

RATING: 8.5/10

Singapore may allow virtual banks

May 7, 2019 | 12:01 am

SINGAPORE could follow Hong Kong in handing out virtual banking licenses, according to the head of the largest local lender, in a move that would create another source of competition for the city state’s established banks.

“I see no reason why it would not,” DBS Group Holdings Ltd. Chief Executive Officer Piyush Gupta said in an interview with Bloomberg Television, when asked whether the Singapore authorities might issue similar licenses to Hong Kong. But he downplayed the likely impact on Singapore’s existing banks, which are already competing with international giants like Citigroup Inc. as well as financial technology start-ups.

Provided incumbent lenders have been upgrading their digital capabilities, any virtual banking newcomers shouldn’t be considered a threat, Gupta said. “To my mind, that’s just basically giving a few more banking licenses,” he added.

Among the firms to receive virtual licenses in Hong Kong, three have partnered with financial institutions such as Standard Chartered Plc, BOC Hong Kong Holdings Ltd. and ZhongAn Online P&C Insurance Co. Fintech firm WeLab Holdings Ltd. has also received a Hong Kong banking license. The new entrants are targeting a market dominated by HSBC Holdings Plc, which has a leading share of the local market for retail and corporate lending, mortgages and credit cards.

Virtual banks typically have lower operational costs than traditional lenders that rely on brick-and-mortar branch networks. Last month, Gupta told DBS’s annual shareholder meeting that a new digital bank could generate $100 of income from a cost base a little above $30.

LEVEL PLAYING FIELD
In the interview, Gupta said he’d only see a problem in Singapore if virtual banks are allowed to operate on more lenient terms than the incumbents, for example in terms of the capital they are required to hold. “The real challenge is if the regulators create an unlevel playing field, and let the new bank licensees come in and do banking on different terms,” he said. But he said most regulators “don’t seem to be inclined” to do that.

Singapore’s banking landscape is dominated by the three local lenders — DBS, Oversea-Chinese Banking Corp. and United Overseas Bank Ltd. — though foreign firms such as HSBC and Citigroup also have branch networks.

Virtual licenses are “a broader banking policy that has to be studied carefully,” Singapore’s Education Minister Ong Ye Kung, who sits on the MAS board, said in a parliamentary speech in January. “The real question is whether there are benefits for Singapore to increase the number of banks in Singapore by admitting primarily digital start-up banks,” Ong added.

Gupta said DBS’s training programs have been successful in minimizing job losses as technology disrupts the finance industry, and reduces the number of staff needed in branches. Some 1,200 employees have been retrained and about 900 have moved to new roles, he said.

Even for people in their 60s and 70s “if you know how to use FaceTime and you can Skype and you order an Uber or a Grab, if you can make the change in your personal life, there’s no reason to believe that you can’t be reskilled and retrained in your professional life,” Gupta said. — Bloomberg

Concepcion earnings up 14%

May 7, 2019 | 12:01 am

EARNINGS of Concepcion Industrial Corp. (CIC) went up by 14% in the first quarter, on the back of easing inflation figures and a more stable foreign exchange environment.

In a statement issued Monday, the listed appliances manufacturer said profit after tax and minority interest climbed to P187 million during the period. This came on the back of a seven percent increase in net sales to P3.3 billion.

“The first three months of 2019 has shown signs of a more stable outlook with steady commodity prices, less volatile FX (foreign exchange) and a more controlled inflation scenario,” CIC Chairman and Chief Executive Officer Raul Joseph A. Concepcion said in a statement.

CIC’s first-quarter results mark an improvement from its performance in 2018, which saw net income drop by five percent to P1.4 billion. The company attributed the slowdown to rising costs as a result of higher commodity prices, fluctuating foreign exchange rates, and unfavorable weather especially in the third quarter.

“Highlights of our Q1 topline performance include strong sell-in offerings to counter the relatively slower consumer market as well as a stronger pipeline and order intake in the commercial segment,” Mr. Concepcion added.

The company said it will continue to look at expanding its product and services that will offer relevant and innovative solutions to Filipino families and businesses.

One of CIC’s most recent acquisitions is tech start-up Teko Solutions, Inc., which provides real-time access to professionals who can provide service and repairs for home appliances through a proprietary platform.

“Our key focus areas for this year include expanding our product and services not just through technology but better customer experience and reach as well as enabling our organization to pursue more synergies and innovation,” Mr. Concepcion said.

Incorporated in 1997, CIC is the company behind air-conditioners and refrigerators under the Carrier, Toshiba, Condura, and Kelvinator brands. — Arra B. Francia

Luxurious living spaces at Botanika

May 7, 2019 | 12:01 am

THE BOTANIKA Nature Residences offers “a life of utmost privacy, exclusivity, and ease in a lush vertical setting.”

Located within Filinvest City in Alabang, Botanika’s first tower is ready for occupancy, offers 101 units with spaces similar to the layout of single detached units.

Residents of the garden-inspired condominium can enjoy amenities such as a tiered children’s pool and lap pools amid lush greenery and an outdoor play area. Indoor facilities include a library and business center. Members also have direct access to the exclusive Palms Country Club.

How PSEi member stocks performed — May 6, 2019

May 7, 2019 | 12:00 am

Here’s a quick glance at how PSEi stocks fared on Monday, May 6, 2019.

Price pressures soften for low-income households in March (2019)

May 7, 2019 | 12:00 am