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NGCP clears BuhaWind’s 2-GW wind project for grid link

BUHAWIND.COM.PH

BUHAWIND ENERGY Northern Luzon Corp. (BENLC) has secured approval from the National Grid Corp. of the Philippines (NGCP) for the integration of its 2,000-megawatt (MW) North Luzon Offshore Wind Power Project.

In a statement on Tuesday, the company said it received NGCP’s approval for its facilities study, outlining the critical technical requirements necessary for the integration of the wind project into the national grid.

NGCP’s planned 500-kilovolt Burgos Substation, the completion of which is a key prerequisite for the project’s energization, is the designated connection point for the offshore wind project in Ilocos Norte.

BENLC is a joint venture between Yuchengco-led PetroGreen Energy Corp. (PGEC) and Danish firm Copenhagen Energy Group.

“NGCP’s meticulous study and evaluation of the grid connection requirements put BENLC in a stronger position to design and deliver power infrastructure that not only meets the highest technical standards but also contributes meaningfully to the Department of Energy’s agenda of increasing the country’s power supply and accelerating our transition to clean energy,” said PGEC Vice-President for Technical Operations Paul Elmer C. Morala.

To successfully deliver the capacity from its project and ten other offshore wind service projects in northern Philippines, BENLC is awaiting the assessment of the Philippine Ports Authority on the development of the Port of Currimao for offshore wind service operations.

Offshore wind farms need to be serviced from specialized ports hosting maintenance facilities and enabling equipment transport.

BENLC secured the pre-development environmental compliance certificate for the offshore wind project in May. The project was certified as an energy project of national significance by the Department of Energy and was issued a green lane certificate by the Board of Investments.

The northern Luzon wind development is expected to commence commercial operations by mid-2030. — Sheldeen Joy Talavera

Megaworld Q2 profit up 35% on strong core segments

BAYTOWN PALAWAN — MEGAWORLDCORP.COM

LISTED real estate developer Megaworld Corp. saw a 35% increase in its attributable net income for the second quarter (Q2) to P5.6 billion from P4.15 billion last year, on growth across its residential, leasing, and hospitality businesses.

April-to-June revenue climbed by 10% to P22.16 billion from P20.22 billion a year ago, Megaworld said in a regulatory filing on Tuesday.

For the first half, Megaworld grew its attributable net profit by 25% to P10.7 billion from P8.55 billion in the same period last year.

Revenue for the first six months increased by 10% to P43.09 billion from P39.1 billion the prior year.

“What excites us most is the broad-based strength we are seeing — offices, malls, residential, and hotels are all growing. That gives us confidence as we scale further,” Megaworld President and Chief Executive Officer Lourdes T. Gutierrez-Alfonso said.

“We’re pushing forward with more townships, smarter spaces, and deeper integration across our developments, but at the same time, making sure that we build responsibly and sustainably,” she added.

Office leasing revenues by Megaworld Premier Offices increased by almost 18% to P3.7 billion during the second quarter and climbed by 17% to P7.4 billion in the first half of the year, led by the contribution of new assets and leases, as well as sustained rent escalations.

Megaworld Premier Offices closed nearly 100,000 square meters (sq.m.) in new leases during the quarter, driven by expansions from business process outsourcing and multinational companies.

Leasing revenues of Megaworld Lifestyle Malls went up by 9.4% to P1.67 billion in the second quarter and grew by 10% to P3.33 billion in the first half, on growing consumer foot traffic and new leases.

The mall business saw more than 30,000 sq.m. of new tenant openings, as well as new retail spaces at Lucky Chinatown in Binondo.

Hotel revenues rose by 12% to P1.39 billion in the April-to-June period and improved by 19% to P2.81 billion in the first six months, on higher room rates and more room keys compared to the previous year.

In June, Megaworld announced its partnership with global hotel chain Accor to elevate and expand its current hotel portfolio.

Real estate sales grew by 10% to P14.03 billion in the second quarter and increased by 9% to P27.12 billion in the first half, due to residential demand across projects in both Metro Manila and key growth centers in the provinces, along with ongoing project completions.

Key contributors include Uptown Bonifacio, McKinley Hill, McKinley West, Eastwood City, ArcoVia City, Iloilo Business Park, Maple Grove, and The Upper East Bacolod.

Megaworld recently launched its 36th township, the 116-hectare Nascala Coast, in Nasugbu, Batangas.

The P5-billion township, to be developed by Megaworld subsidiary Global-Estate Resorts, Inc., will feature residential villages, beachside condominiums, commercial hubs, as well as leisure and wellness facilities.

Megaworld’s 36 townships cover approximately 7,000 hectares.

The company is on track to launch another township development within the year as part of its continued provincial expansion.

The company also targets growing its office gross leasable area (GLA) to two million sq.m. by 2030, and its retail GLA to one million sq.m. in five years. These targets will bring Megaworld’s total leasing portfolio GLA to three million sq.m. by 2030.

Total assets reached around half a trillion pesos as of end-June.

Megaworld shares rose by 1.01% or two centavos to P2.01 per share on Tuesday. — Revin Mikhael D. Ochave

Meralco inks RE partnership with ERC, QC gov’t

(L-R) Meralco Senior Vice-President and Chief Revenue Officer Ferdinand O. Geluz, Quezon City Mayor Josefina “Joy” G. Belmonte, ERC Chairperson Monalisa C. Dimalanta, and Meralco Vice-President and Head of Utility Economics Lawrence S. Fernandez during the signing of the tripartite agreement on Aug. 4. — MANILA ELECTRIC CO.

MANILA ELECTRIC Co. (Meralco) has partnered with the Energy Regulatory Commission (ERC) and the Quezon City (QC) local government to facilitate the adoption of renewable energy (RE) in Quezon City by streamlining the net metering application process.

In a statement on Tuesday, Meralco said the tripartite agreement seeks to foster public-private collaboration to help advance the country’s renewable energy targets.

For Quezon City, the initiative aligns with its broader sustainability agenda as a member of C40 Cities — a global network of mayors from leading cities around the world committed to addressing climate change.

“One of our core priorities in Quezon City has always been to make energy cleaner, more reliable, and more accessible not just for our whole operations but for households and businesses in our city,” Quezon City Mayor Josefina “Joy” G. Belmonte said.

“Through this agreement with ERC and Meralco, we’re putting systems in place, clear processes, better coordination, and stronger support so that more stakeholders can take part in our clean energy transition.”

According to the power distributor, the collaboration aims to streamline the processing of net metering and distributed energy resource (DER) applications and to raise public awareness through the efficient dissemination of information on programs and policies that support RE adoption.

The net metering program allows customers with eligible RE systems, such as rooftop solar panels, to export excess electricity to the grid and receive credits, which they can use to offset their electricity bills.

As of end-July, nearly 2,500 net metering customers were in Quezon City — the highest number and largest aggregated capacity among all cities and municipalities within Meralco’s franchise area.

As part of the agreement, Meralco will set up a booth within the Quezon City Hall Compound and assign personnel for consultations and the processing of net metering and DER applications, as well as other services offered by the distribution utility.

The Quezon City government, meanwhile, will handle logistical requirements, while the ERC will provide technical and regulatory expertise to ensure proper program implementation.

“The net metering program is one of the best examples of how we can empower ordinary Filipinos to participate directly in crafting our nation’s energy destiny,” ERC Chairperson and Chief Executive Officer Monalisa C. Dimalanta said.

Meralco Senior Vice-President and Chief Revenue Officer Ferdinand O. Geluz said the agreement reflects “a shared vision and responsibility to advancing renewable energy and to shaping the path forward towards consumer empowerment and demand management.”

“As we move forward, Meralco remains fully committed to reinforcing our support for the government’s initiatives and thrust in renewable energy and energy transition, and to making a lasting impact — not just on the lives of our customers but on the progress of our nation,” he added.

Meralco’s majority owner, Beacon Electric Asset Holdings, Inc., is partly owned by PLDT Inc.

Hastings Holdings, Inc., a unit of the PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has an interest in BusinessWorld through the Philippine Star Group, which it controls. — Sheldeen Joy Talavera

Reframing fairytale twists and turns

Theatre Group Asia adapts Into the Woods for PHL audience

THE FIRST production of Theatre Group Asia (TGA) is a local interpretation of a beloved Broadway musical, Into the Woods, boasting a star-studded cast of Filipino talent based here and abroad.

Set to run from Aug. 7 to 31 at the Samsung Performing Arts Theater in Circuit Makati, the musical is faithful to the 1986 material by Stephen Sondheim (music and lyrics) and James Lapine (book). However, its cast as well as its incorporation of Filipino myth-making and perspectives will make it “a little bit different.”

“We want to show the multiplicity of what it means to be Filipino. How do we curate content that not only serves the Filipino theater-going community but opens up the definition of theater to new generations?” said TGA artistic director Clint Ramos, at a press conference in Makati on July 31.

The 24-show run of Into the Woods follows a project staged by TGA producers last year, Request sa Radyo, a wordless play that was also distinctly Filipino.

Mr. Ramos added that Into the Woods reflects their focus on “the exchange of ideas between folks here and also the global Filipino — and how we can create world-class theater together.

“We want to put up a production that actually considers the Filipino condition,” he said.

Helming the musical are theater director Chari Arespacochaga, who is also a theater educator at Florida State University, and music director and conductor Gerard Salonga, who will be leading the full 19-piece Filharmonika Orchestra. Filling out the main creative team are set designer Ohm David, costume designer Raven Ong, lighting designer Cha See, and sound designer Megumi Katayama.

The 16-member cast includes theater icon Lea Salonga as The Witch, Broadway star Arielle Jacobs as Cinderella, Philippine comedy legend Eugene Domingo as Jack’s Mother, international theater and television actor Josh Dela Cruz as Prince Charming/the Wolf, theater actors Nyoy Volante and Mikkie Bradshaw-Volante as the Baker and the Baker’s Wife, young actor (and Lea Salonga’s child) Nic Chien as Jack, international performer Joreen Bautista as Rapunzel, and singer and actor Mark Bautista as Rapunzel’s Prince.

Also in the cast are Teetin Villanueva as Little Red Riding Hood, Kakki Teodoro and Sarah Facuri as Cinderella’s Stepsisters, Tex Ordoñez-De Leon as Cinderella’s Stepmother, Carla Guevara Laforteza as Granny/The Giant, Jamie Wilson (who is also assistant director) as Cinderella’s Father/Steward, and theater impresario Rody Vera as the Narrator.

A UNIQUE TAKE
The project marks 30 years since Ms. Salonga last played the role of the Witch in a Singaporean production.

“The difference is life experience, and knowing more and more deeply about the human condition than I did the first time I played this role,” she said.

On the specific changes that have added depth to her perspective, she said: “I’ve had a child, I’ve seen more of the world, for better or for worse… I think there is a part of me that is joyful and optimistic, there’s also a part that’s sort of… a little cynical or knows what that’s like. But there’s always a part of me that remains hopeful.”

Ms. Arespacochaga said it was important to direct the entire production in such a way that brought out the cleverness of the material.

“The show is like a very smart, clever putting-together of fairytales. And as a people, Filipinos are storytellers. We build community by sharing stories. And I think that was our main sort of way into it,” Ms. Arespacochaga said.

She added that fairytales being about myths fits with “how Filipinos live with the mythic on a day-to-day basis.

“That’s been the beacon for our show, for our production, and that was also the guiding force for the casting,” she explained. “The definition of Filipino is so vast — there is a multitude of one for each individual, so what it means to be Filipino is so different.”

TGA was founded by its creative director Mr. Ramos, Samsung Performing Arts Theater director Christopher Mohnani, and the late theater director Bobby Garcia.

Mr. Ramos explained that it was Mr. Garcia’s initiative to let global Filipino talent shine by passing on their knowledge.

“Every artist we engage with, we actually contractually obligate to do masterclasses for free,” he said. Many of the actors in Into the Woods have held or are set to hold masterclasses. “It’s not just about mounting a show; it’s about making sure the knowledge of how gets passed on.”

A STRONG CAST
For Ms. Guevara Laforteza, taking on the dual role of the Granny and the Giant, it has been an enriching experience so far, especially as “a learning actor.”

“I think there’s a reason why Bobby chose this particular cast individually, because he knew that we were going to work well together. He knew we had that discipline, and the passion, and the love for the musical, for Stephen Sondheim’s music,” she said.

Ms. Domingo, best known for her comedy work in film and television, complimented many of the cast members for their professionalism, firstly Ms. Salonga for being “a world-class talent.”

She described Broadway star Ms. Jacobs as “beautiful, inside and out,” much like her Cinderella, recounting a story where the actress approached her and gave her encouragement in rehearsals.

Although of Filipino descent, this is Ms. Jacobs’ first time in the Philippines.

“My mom lived in Baguio before she and her family moved to the States,” she said at the press conference. “I always felt a connection to my Filipino roots, but I didn’t know exactly what that meant because I haven’t touched soil. Now, it’s helped me learn more about who I am.

“I didn’t realize how rooted my passions were to my heritage.”

Another Filipino-American talent in the cast is Mr. Dela Cruz, who is taking on the dual role of Cinderella’s Prince and The Wolf. He is known for hosting the popular kids’ television show Blue’s Clues & You!.

“I’ve played a wolf in an episode before, but I love this one because it’s a completely fun and different character, whereas as prince I get to play off of the rest of the cast more,” he told members of the media.

On working with the rest of the cast, he said, “It’s so inspiring to be part of this. I can be spontaneous because we feel safe around each other to make mistakes and just play.”

Mr. Vera, who plays the Narrator, expressed that this level of collaboration is more than welcome in the theater world.

“Before, there was a time when theater companies were very parochial. They didn’t share skills and actors,” he said. “This is a great example of people from all over as one big community, offering different perspectives.”

Into the Woods runs from Aug. 7 to 31 at the Samsung Performing Arts Theater in Circuit, Makati. Tickets are sold out.

TGA’s next production will be A Chorus Line, which will be presented in March of 2026. Auditions will be held in Manila, Cebu, Bacolod, and Davao from September through November. For details on the auditions, visit www.theatregroupasia.com. — Brontë H. Lacsamana

KFC PHL eyes 73% of new stores via sub-franchising by end-2025

CORPORATE.KFC.COM.PH

KFC Philippines expects 73% of its new stores by the end of 2025 to open under a sub-franchising model, where it grants franchise rights to individuals through local partners, as it targets investors seeking passive income opportunities.

“KFC anticipates substantial growth through this sub-franchising model, with a projected 73% of new restaurant openings by end-2025 following this successful approach,” it said in a statement on Tuesday.

Under the sub-franchising model, investors provide the capital while KFC handles all restaurant operations. The agreement allows investors to earn from the business over a 10-year period.

“Our sub-franchising model is meticulously crafted for investors who seek the stability and profitability of a world-class brand without the complexities of day-to-day restaurant operations,” said Adrian Kent C. Galindo, franchise management director at KFC Philippines.

“We handle the heavy lifting, so our partners can focus on the significant returns.”

In particular, KFC would manage staffing, marketing, and operations on behalf of franchisees, ensuring zero operational burden for investors.

It noted that KFC restaurants generate consistent rental income for property owners, transforming idle assets into stable revenue streams.

“The presence of a KFC restaurant significantly enhances the value and appeal of any development — be it malls, commercial buildings, or townships — attracting more customers and substantially increasing an area’s overall foot traffic and commercial vibrancy,” KFC also said.

“This unique approach allows investors to capitalize on the accelerated growth of a globally recognized brand, transforming passive assets into productive revenue streams,” it said.

An investment in a KFC sub-franchise typically costs P25 million for branches within malls or commercial buildings, with a minimum area requirement of 150 square meters (sq.m.).

Meanwhile, full-sized stand-alone drive-thru stores, with a minimum area requirement of 600 sq.m., would require up to P40 million in investment, it said.

“These dynamic strategies ensure the KFC brand remains vibrant and relevant, driving heightened brand visibility, stronger customer loyalty, and increased foot traffic,” Mr. Galindo said.

“For prospective sub-franchisees, this translates directly into sustained customer engagement and, ultimately, enhanced long-term profitability and appeal of their investment.” — Beatriz Marie D. Cruz

BPI looks to finalize blue bond framework within this quarter

BANK OF THE PHILIPPINE ISLANDS

BANK of the Philippine Islands (BPI) expects to finalize its framework for blue bonds within this quarter, but the timing of its first issuance will still depend on its funding needs.

“There’s just an approval process that we need to go through. I continue to expect that before the end of the year, it should be in place. In fact, I think even before the end of the third quarter, it should be done,” BPI Chief Financial Officer Eric M. Luchangco told BusinessWorld last week.

He added that the bank already has some projects that it could finance under the framework once it gets finalized.

“We already have some projects that are eligible for it. We will definitely continue that as time goes on… but we already have some projects that would be eligible once we have the framework,” Mr. Luchangco said.

However, BPI Treasurer and Global Markets Head Dino R. Gasmen told BusinessWorld that while there is strong demand for local currency issuances, the bank could still wait until the end of the year before it launches another bond offer.

“I think one of the reasons why there’s so much demand from retail investors is because I think they believe that the BSP (Bangko Sentral ng Pilipinas) is going to bring down policy rates. So, it’s better to lock it down because it looks like they will cut rates. For banks, it’s the reverse — we want to take advantage of the lower rates, so we’ll probably wait for rates to go lower before we issue,” he said.

Ideally, they want to wait until the BSP finishes its current easing cycle, Mr. Gasmen said.

“But it depends. If there’s a strong pipeline, we may not need to wait for the BSP to reduce rates,” he added.

BPI last tapped the domestic bond market in June, raising P40 billion from 1.5-year BPI Supporting Inclusion, Nature, and Growth or SINAG Bonds, its largest peso bond issuance to date.

This marked the first tranche of the bank’s P200-billion bond and commercial paper program approved by its board of directors in October last year.

BULLISH INCOME PROSPECTS
Meanwhile, BPI President and Chief Executive Officer Teodoro K. Limcaoco told BusinessWorld he is hopeful that the bank will post another record-high net income this year as it continues its expansion into the consumer sector to help offset margin pressure as benchmark borrowing costs go down.

“I certainly hope so. The first quarter is an indication. Our first quarter, we grew 7% versus last year, so if you extrapolate, it’s higher. We’ll see,” he said when asked if BPI could sustain its record profit performance, as the bank posted all-time high earnings in the last three years.

BPI’s first-half net income increased by 7.8% year on year to P33 billion from P30.6 billion.

Mr. Limcaoco said during BPI’s anniversary celebration event on Friday that banks have to expand their market to help compensate for the expected slowdown in income growth expected as the interest windfall that came with tight monetary conditions comes to an end.

“The growth rate in earnings is slowing down. Rates are coming off. And therefore, to compensate for this, you’ve got to broaden your market — and that takes time to pay off,” he said.

“When interest rates fall, loan rates fall across the board. They fall faster for corporate loans. But also, people forget that it also affects time deposit rates. So, our funding costs also fall.

Also, given that corporate loans tend to reprice over a year… Consumer loans actually don’t reprice because they’re very sticky. And time deposit costs reprice very quickly.”

Net interest margins (NIM) usually expand a little as an immediate reaction to rate cuts, he noted. “But over the long run, everything else being equal, our NIMs actually fall. The estimate is maybe three or 4 basis points (bps) for every 25 bps [of cuts].”

“At the end of the first half, our consumer loans were 29.7% of our portfolio versus maybe five years ago when it was only 20%. So, we have grown our… non-institutional loans significantly faster,” Mr. Limcaoco said.

BPI’s institutional loans grew by 9.4% in the first half, while consumer or non-institutional loans grew by 26.9%, the bank earlier said.

Mr. Limcaoco said he still expects their loans to expand by double digits this year.

Mr. Luchangco said during the same event on Friday that loan growth will help support BPI’s profits.

“Largely, I think the trend that we’re seeing in the first half of the year will continue into the second half of the year in terms of the relative growth between corporate and between consumer,” he said.

“It’s a positive for us because we’ve been showing decent performance in the first half, with loan growth at about 14%. And earnings have continued to improve. So, we believe all of the factors exist for that to continue into the end of the year,” the official added.

Meanwhile, Mr. Limcaoco also announced on Friday that the bank has received approval from the Monetary Authority of Singapore to set up an office for BPI Wealth – A Trust Corp. in the city-state, which is expected to open in October.

This will be its third overseas BPI Wealth office following the ones in Hong Kong and London.

“We’re opening an office to serve Filipino clients in the ASEAN (Association of Southeast Asian Nations) region and Filipino clients who want investments overseas that we can house in Singapore,” he told reporters.

He added the office will target preferred and high-net-worth clients.

BPI Wealth President and Chief Executive Officer Maria Theresa D. Marcial said the office will be located at the Marina Bay Financial Centre. — Aaron Michael C. Sy

Goldman Sachs pitches wealthy Asian heirs on leveraging family art

GOLDMAN Sachs Group, Inc. is building up its art advisory services in Asia, as wealthy families catch up with those in the US and Europe on collections.

The investment bank offers affluent clients tailored advice on everything from art collecting and succession planning for such assets to leveraging them as collateral for loans, said Monica Heslington, head of art and collectibles strategy at the bank’s private wealth management division. Its services extend to bespoke experiences like gallery walk-throughs, she said.

Art was a theme at the Wall Street firm’s third annual summit in Hong Kong for Asian wealthy clients. More than 100 members of families gathered in Hong Kong to learn about investing principles, thought leadership and art investment strategy. The program also included a tour to Christie’s Asia-Pacific headquarters.

Asian clients are now “at the point where they ask ‘what are we going to do with this collection for the next generation?’” Ms. Heslington said in an interview. “What they want to hear about is what we see people in Europe and the US do.”

About $83 trillion in global wealth is expected to be passed to the next generation in the next two decades, with a large chunk taking place in the Asia Pacific region, according to a UBS Group AG report last year. China’s Greater Bay Area — which includes Hong Kong, Shenzhen, and nine other major mainland cities — is home to 510,000 high-net-worth families, according to the report.

Still, total fine-art sales dropped by about 27% last year, according to an Artnet database report released in March.

For China alone, revenue from such sales decreased by about 46%, the data shows.

One of the main reasons for a sales drop in Greater China is a lack of big-ticket sales, as buyers are less willing to pay for pieces worth $10 million or more on the back of a challenging economic environment.

Goldman began offering art advisory services in Asia last year, following strong client demand since its launch in the US in 2019 and subsequent expansion to Europe three years ago.

“The art market is in a low correction period,” Ms. Heslington said, adding that there has been an increase in inquiries regarding art lending from Asian clients. “When there’s a hesitation to sell, people are looking for other ways to monetize it.”

A $20-million collection could normally back a loan of about $10 million if it contains blue-chip pieces with strong secondary market value, according to Ms. Heslington.

Wealthy entrepreneurs who built their fortunes in areas such as the property business in the past two decades are increasingly exploring options to leverage art collections.

WARHOL, PICASSO
The family behind Parkview Group, a private developer in Hong Kong, is trying to offload 300 artworks displayed at its mall in Beijing to repay part of a $940-million loan, people familiar said in July. That followed an unsuccessful attempt earlier this year to secure a loan from Sotheby’s, using a collection that included works by Andy Warhol and Pablo Picasso.

Goldman’s summit participants, averaging 20 years of age, were invited from families of the bank’s private wealth clients. As part of the activities, participants took part in a mock auction and engaged advisers in discussions about real-world assets versus digital collections in the metaverse, said Ms. Heslington, who also visited Singapore and Taiwan during her Asia trip.

She’s also planning more visits to the Middle East, where clients are showing increasing interest in arts and collectibles. Sotheby’s held an inaugural auction in Saudi Arabia in February, and Art Basel is preparing to launch its next edition in Qatar next year.

Last month, a group of high-profile art-world figures — including former executives from leading international auction houses such as Christie’s, Sotheby’s, and Phillips — joined forces to create a new firm, New Perspectives Art Partners, to tap clients in the Gulf region.

While the US is still the biggest market for art, “Hong Kong is Asia’s largest hub, and I don’t think that will change any time soon,” said Ms. Heslington. — Bloomberg

Viva Communications, Inc. and WEBTOON Productions seal first-look development and production deal to bring more hit stories to Viva One

Valerie Salvador del Rosario, President and COO for Studio Viva, Inc.; and Ryan Benitez, Development Executive, APAC, and Creator Manager, International Operations and Strategy for WEBTOON Productions

Viva Communications, Inc., one of the Philippines’ leading entertainment powerhouses; and WEBTOON Productions, the fan-driven studio and IP business from WEBTOON Entertainment, Inc., have signed a significant three-year first-look development and production partnership to bring more beloved and popular Wattpad stories to life as adaptations on Viva One.

Viva One, which has an extensive base of over four million subscribers across 90 countries, becomes the ultimate destination for these beloved adaptations. Building on their longstanding collaboration, this new deal further cements Viva’s reputation as the home of faithful and acclaimed adaptations-based titles from Wattpad.

One of these is the wildly popular and trending Ang Mutya ng Section E, which have successfully expanded their fandoms throughout the globe, making it a global phenomenon. As part of this new partnership, fans can expect more upcoming Wattpad adaptations on Viva One.

Filipino audiences have long embraced compelling stories that originated on Wattpad, from the early successes of Diary ng Panget and Talk Back and You’re Dead to fan-favorite adaptations such as Ex With Benefits, This Time, Your Place or Mine?, and Girlfriend for Hire. More recently, Viva has also successfully transitioned Wattpad hits into binge-worthy series, including the University Series: The Rain in Espana, Safe Skies, Archer, Chasing in the Wild and Avenues of the Diamond and Seducing Drake Palma — all available for streaming exclusively on Viva One.

Building on the global success of Ang Mutya ng Section E, we’re incredibly excited to officially partner with Viva, said Ryan Benitez, Development Executive, APAC, and Creator Manager, International Operations and Strategy for WEBTOON Productions. “This collaboration opens the door to bringing more best-selling and beloved Filipino Wattpad stories to the screen — for fans in the Philippines and wherever Viva One is available. It marks a new chapter for our creators, and we’re thrilled to see where this journey takes us!

“This collaboration reflects our unwavering dedication to showcasing Filipino storytelling and expanding its reach to a global audience,” said Vic del Rosario, Jr., chairman and CEO of Viva Communications, Inc. and a pioneer in the Philippine entertainment industry. “By collaborating with WEBTOON Productions, we are continuing to tap into stories that deeply resonate with Filipino readers and viewers, both locally and globally. We are thrilled to bring even more of these stories to Viva One.”

Ito pong partnership ng Wattpad at Viva, it just means it will open more doors and opportunities for our Filipino literary artists. Na yung mga sinulat po nila can come to life audio-visually,” said Valerie Salvador del Rosario, president and COO of Studio Viva, Inc.

The deal was negotiated between Ms. Salvador del Rosario; and Daryl Kho, Business Development, Southeast Asia for WEBTOON Productions.

With this strengthened partnership, Viva and WEBTOON Productions reaffirm their dedication to delivering powerful and engaging content that capture hearts and imaginations across the globe. Stay tuned as more must-watch adaptations make their way exclusively to Viva One.

About WEBTOON Productions

WEBTOON Productions brings together technology, a diverse new generation of creators, and passionate global fandoms to create data-backed, audience-driven TV shows, films, and books. Leveraging incredible stories and insights from WEBTOON and Wattpad, WEBTOON Productions has pioneered a bold, global, fan-first approach to entertainment. WEBTOON Productions has worked with Netflix, Sony Pictures Television, The Jim Henson Company, Vertigo Entertainment, Constantin Film, Penguin Random House, and many other leaders in entertainment and publishing.

 


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Imported brandy drives 13.7% income growth for Keepers

LUCIO L. CO-LED liquor distributor The Keepers Holdings, Inc. reported a 13.7% increase in its net income for the first half to P1.62 billion from P1.43 billion a year ago, driven by higher sales of imported brandy.

Consolidated revenue rose by 17% to P9.04 billion from P7.72 billion in the same period last year, Keepers said in a regulatory filing on Tuesday.

Keepers said the higher revenue was driven by a 22% growth in the volume of cases sold, led by the Alfonso imported brandy.

Operating expenses increased by 22% to P692.5 million from P567.45 million a year earlier.

In July, Keepers announced its entry into the premium local spirits market through the acquisition of a 50% stake in Cervia Global Trading, Inc. for P40 million. The acquisition also positions the company for growth in international markets.

Cervia Global is the company behind Sula, which manufactures flavored liqueur in coconut, dark chocolate, and coffee flavors using locally grown ingredients.

The company’s board had also previously approved the incorporation of a subsidiary to establish a chain of retail outlets for alcoholic beverages and related products.

Keepers has brought various international brands of spirits, wines, and specialty beverages into the Philippines. These brands include Johnnie Walker, Chivas Regal, Glenfiddich, Suntory, Jinro, Jose Cuervo, Jim Beam, Penfolds, Red Bull, and many others.

Keepers shares rose by 3.19%, or eight centavos, to P2.59 per share on Tuesday. — Revin Mikhael D. Ochave

MB-approved foreign borrowings jump by 25% in the second quarter

FILE PHOTO: U.S. one dollar banknotes are seen in front of displayed stock graph in this illustration taken February 8, 2021. — REUTERS/DADO RUVIC/ILLUSTRATION/FILE PHOTO

THE Monetary Board’s (MB) approved government foreign borrowings rose by 25.38% year on year in the second quarter, the Bangko Sentral ng Pilipinas (BSP) said.

Approved public-sector foreign borrowings jumped to $4.89 billion in the three months through June from $3.9 billion in the same period a year ago, the central bank said in a statement late on Monday.

Broken down, the approvals consisted of eight project loans amounting to $4.14 billion and three program loans worth $0.75 billion.

“The approved foreign borrowings have medium- to long-term maturities,” the BSP said.

“The loans are meant to fund projects and programs on road and rail transport, flood control management, climate resilience, health services, and civil service modernization,” it added.

Under the Constitution, the Monetary Board is required to approve any foreign loan agreements entered into by the National Government (NG).

The BSP must also approve in principle any foreign borrowing proposals by the NG, government agencies and government financial institutions before actual negotiations.

The Monetary Board must submit a report of its decision on these applications for loans within thirty days from the end of every quarter of the calendar year.

The central bank said these approvals are in line with its task of “ensuring that the country’s foreign debt remains manageable.”

Latest BSP data showed outstanding external debt rose by 14% to $146.74 billion at the end of March. This brought the external debt as a percentage of gross domestic product (GDP) to 31.5% from 29.8% in the fourth quarter.

The BSP’s external debt data cover borrowings of Philippine residents from nonresident creditors, regardless of sector, maturity, creditor type, debt instruments or currency denomination.

Latest Treasury data showed the NG’s gross borrowings surged by 78.16% year on year to P263.99 billion in June. This came as gross external debt soared to P96.41 billion during the month.

From this year until 2027, the National Government plans to source at least 80% of its borrowing program from domestic sources and 20% from foreign lenders. — Luisa Maria Jacinta C. Jocson

Solaire North’s giant glass tube installation earns Guinness World Record

THE END of July saw Solaire Resort North in Quezon City mount a formal ceremony naming The Mangrove — an artwork by American glass sculptor Nikolas Weinstein, located at its lobby atrium — as the largest glass tube installation in the world, as per Guinness World Records.

The monumental glass installation took over four years of meticulous planning, engineering, and craftsmanship to make.

“When we first imagined this property, we set our sights high. Not just on growth, but on transformation. We didn’t want to simply build another resort. We wanted to create something that would stand out for its creativity, elegance, and meaning,” said Gregory Hawkins, president and chief operating officer for Bloomberry Resorts Corp., at the ceremony.

He explained that The Mangrove is at the heart of their vision, reflecting with Solaire Resort North stands for. It is meant to be “a breathtaking symbol of strength, growth, and resilience.”

RECORD NUMBERS
Emi Saito, the official adjudicator of Guinness World Records, said at the event that they measured the structure in the presence of two witnesses, as well as reviewed it based on a full report.

“The minimum requirement was an added height, width, and depth longer than 60 meters,” she explained. “It also has to be in a public space.”

The Mangrove stands at 25.396 meters in height, 19.166 meters in width, and 24.198 meters in depth.

It is made up of 16,000 glass tubes supported by steel bars. The materials used in crafting the sculpture include glass, stainless steel, cable, silicone, and acrylic.

Located at the hotel and casino’s main atrium, the sculptor Mr. Weinstein worked with Samantha Drummond and her Habitus Design Group so that the lobby would evoke Philippine mangrove forests.

For visitors to Solaire Resort North, the tubes appear to gently twist and turn as if in movement, reaching up through the three-story atrium towards the skylight.

For Mr. Weinstein, the “difficult” and “frustrating” process of putting it all together was part of the challenge.

“We were really interested in making it something where you can kind of move through it, above it, and around it,” he said in a video message played at the ceremony.

He added that it became that huge “not because that was the intention.”

“It was sort of like, ‘here’s a big space, what do you want to do with it?’” he said.

The Mangrove can be found in Solaire Resort North, located on 1 Solaire Way in Vertis North, Quezon City. — Brontë H. Lacsamana

Following the footsteps of Vietnam

STOCK PHOTO | Image by Georgios Domouchtsidis from Unsplash

(Part 3)

Both the Philippines and Vietnam will become upper middle-income countries in the next two years. The $64 question is which of the two will fall into the so-called middle-income trap.

In development literature, the “middle-income trap” is a term employed to describe a situation in which a country that has achieved a certain level of income (say upper-middle which today is roughly close to $5,000 per capita) fails to progress to high-income (about $16,000 per capita) and remains stuck at that level for a prolonged period. This phenomenon happens when a country grows rapidly after escaping poverty, but growth decelerates before it can become a high-income economy. The economy loses competitive advantage in labor-intensive industries, but fails to develop innovation, achieve productivity increase, and the value-added sectors that are predominant in high-income economies.

Leading causes for economies to fall into this trap are loss of cost advantage, weak innovation, poor institutions, inequality and social exclusion, and underdeveloped capital markets.

The loss of cost advantage in most cases is the steep rise in wages, making labor-intensive exports less competitive. This problem is usually aggravated by a misplaced population control program that leads very early to the ageing of the population before the country becomes rich. The example usually cited is Thailand, the first country to grow old before becoming rich. To a certain extent China is also already suffering from this syndrome as its population ages rapidly because of the one-child program that it implemented strictly (and sometimes brutally) in the last century. China’s leaders today are frantically trying to increase the birth rate but to no avail.

Malaysia is an example of a possible candidate for falling into the middle-income trap because of a slow shift to high tech and innovation, despite having a strong manufacturing base. Then there is Brazil, a typical South American economy that reached upper middle-income status decades ago but got stuck there because of great disparity in income, weak infrastructure, and overdependence on commodity exports. South Africa is a good example of an economy that got stuck at the middle-income level because of racial discrimination, poor quality of education, and inadequate infrastructure. Mexico suffers from low productivity, weak rule of law, and an over-reliance on the US market.

In contrast, countries that escaped the “middle-income trap” during our generation are South Korea, Taiwan, Singapore, and Ireland. South Korea reached high-income status by investing heavily in quality education, the upgrading of export, and R&D in technology. Taiwan became high-income through technological innovation and a strong industrial policy. Singapore excelled in good governance, converted itself into a financial hub, and focused on human resource development. Ireland integrated itself into the European Union, attracted large volumes of FDIs, and developed a pool of highly skilled technical and knowledge-based workers.

Whether or not Vietnam could fall into the middle-income trap has recently been raised with the publication of an article in the Financial Times (June 13) entitled “Does Vietnam have an Economic Plan B?” It may follow in the footsteps of Mexico that became overly dependent on the US market. As the FT article observes, “Vietnam’s recent economic success — with GDP growth at 7% in 2024 — has been driven primarily by exports to the US and surging investments from companies fleeing China…. As a result, the south-east Asian country is one of the world’s most trade-dependent countries, with the US accounting for nearly a third of its total exports… Now it’s ‘China plus one’ success has backfired as the US president takes issue with trading partners who have large surpluses with the US. Vietnam has the third largest, after China and Mexico.”

There are now calls for Vietnam not only to diversify its trade partnerships, but also to build its domestic market as an engine of growth (like the Philippines has done) and to make it more resilient to external shocks.

In this regard, the Philippines appears to have an advantage during times of global crises, such as those that occurred during the East Asian financial crisis in 1997 to 2000, the Great Recession from 2008 to 2012, and the COVID-19 pandemic. The stronger reliance that the Philippine economy has on its domestic market and its very low export to GDP ratio of less than 30% (compared to close to 100% of Vietnam) shields it from slowdowns in the global economy (which we shall surely experience during this current year).

It is clear that US President Donald Trump’s actions have served as a wake-up call for how vulnerable Vietnam is to external shocks. There is a great possibility that the export-led growth model will soon run its course and throw a monkey wrench in Vietnam’s plan to become a developed country 20 years from today. Already, the World Bank downgraded its growth forecast for Vietnam this year, from 6.8% to 5.8%.

Meanwhile, there is a high probability that the Philippines will grow faster in GDP in the next two to three years.

Even if the Trump Government imposes a similar 20% tariff on exports of both economies, the adverse effect on the Philippines will be less because of our very low export to GDP ratio. It is also providential that some 20% of our GDP comes from exports of services, not goods. The foreign remittances from our OFWs and the earnings of our BPO-IT sector total close to $80 billion which are equivalent to the total agribusiness exports of Vietnam.

It is too late for the Philippines to replicate the success story of Vietnam in the export of manufactured goods. We missed the boat when, early in our development efforts, we followed the inward-looking, protectionist, and import-substitution route to industrialization. If at all, we can still have a strong manufacturing sector based on our huge domestic market. We can still build a significant industrial sector based on steel manufacturing, cement and other construction materials, food manufacturing, chemicals, and even ship building.

We should have no illusions, however, that we can still be a major exporter of manufactured goods. Our competitive advantage will be in the service sector, such as the export of manpower (especially in health, hospitality, and construction workers to the Middle East). As we continue to improve our infrastructure, we can build a strong tourism sector which is labor-intensive. Our greatest lesson from Vietnam, as described in the first two articles of this series, is in agribusiness.

The question of which of the two countries will fall into the middle-income trap will be decided by demographics. Will Vietnam grow old before becoming rich as in the case of Thailand? As the FT article reports, there are ongoing reforms in Vietnam that are meant to address demographic issues as the country’s working age is projected to shrink. In fact, the Government recently lifted its long-standing two-child policy. This move, however, is futile as has been the experiences of all East Asian countries that have tried to reverse their decline in fertility rate, starting with Singapore in the last century and the extreme cases of Japan, South Korea, Taiwan, and even China.

A quick comparison of the demographic profiles of the Philippines and Vietnam shows that the Philippines is in a better position to avoid rapid population decline. As of 2025, the total population of the Philippines is 118.4 million while that that of Vietnam is 100.2 million. The median ages are 25.7 and 33.5 of the Philippines and Vietnam, respectively. The Philippine population is still growing at 1.3% annually compared to 0.8% of Vietnam. Some international data still show the Philippine fertility rate at 2.5 children per fertile woman and that of Vietnam at 1.9 in 2025. The Philippine Statistics Authority, however, reports the fertility rate of the Philippines as equal to that of Vietnam at 1.9.

Given the predominantly Christian culture of the Philippines and its constitutional ban against abortion, it is highly likely that the Philippines will continue to enjoy a demographic dividend for many more decades to come. As long as the Philippines can succeed in following the footsteps of Vietnam in attaining higher agricultural growth, the Philippines has a greater chance of avoiding the middle-income trap and reaching high-income status by 2045.

(Read parts 1 and 2 of this series at https://tinyurl.com/2xwz9pjw and https://tinyurl.com/25yzzdfy.)

 

Bernardo M. Villegas has a Ph.D. in Economics from Harvard, is professor emeritus at the University of Asia and the Pacific, and a visiting professor at the IESE Business School in Barcelona, Spain. He was a member of the 1986 Constitutional Commission.

bernardo.villegas@uap.asia