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Dell Technologies provides enterprise cybersecurity and recovery solutions

Leveling up data protection is integral to organizations in achieving business growth. In this new normal, digitalization means business continuity. Need to support hybrid workforces? Go digital. Need to secure critical data and ensure accessibility, anytime, at the same time? Go to the cloud. As digitalization becomes more widespread and necessary than ever, cyber threats become just as, or even more, widespread and sophisticated.

Dell Technologies and Integrated Computer Systems, Inc. (ICS), a leading IT solutions provider in the country and a Dell Technologies Titanium Partner, offer cybersecurity and recovery solutions and services to organizations. The Managed Detection and Response, PowerProtect DD Series and APEX Backup Services deliver superior cyberthreat detection power at the onset.

Managed Detection and Response

IT teams can find support in strengthening their organization’s security through Dell Technologies Managed Detection and Response (MDR), a fully managed, end-to-end, 24×7 service that observes, detects, investigates, and responds to threats across the IT environment. The Managed Detection and Response merges Dell’s security expertise and the Secureworks Taegis XDR security analytics software.

Dell Technologies and ICS’ security analysts assist organizations in the initial setup, monitoring, detection, remediation, and response. They work with the IT team to get an understanding of the environment, as well as give advice on security posture improvements and help deploy the XDR software agent to endpoints.

MDR leverages on the attacker data collected by Secureworks from over 1,400 incident response engagements in the previous year for threat detection and investigation. In the event of a security incident, Dell Technologies assures to help organizations get back and running.

Ultimate protection storage appliance

For cost-effective yet superior data protection, Dell Technologies brings the next generation of its EMC Data Domain appliances — the Dell EMC PowerProtect DD Series.

The DD Series helps organizations in data security, management, and recovery at scale. Powering the DD series is the DD Operating System (DDOS). This gives it the agility, security, and reliability to deliver high-speed, scalable, and industry-leading multi-cloud protection storage for backup, archive, and disaster recovery.

With the DD Series, organizations can enjoy fast, secure, and efficient data protection. This solution can now scale up to 1.5PB capacity in a single rack and provide up to 3PB capacity for long-term retention with the Dell EMC Cloud Tier. It can also integrate seamlessly with existing infrastructures, enabling ease-of-use with leading backup and archiving applications, and deliver superior performance with PowerProtect Data Manager and Data Protection Suite.

DD series supports an extensive cloud ecosystem, including AWS, Azure, VMware Cloud, Google Cloud, Alibaba Cloud, and Dell EMC ECS.

SaaS-based APEX Backup Service

Dell Technologies also has a 100% Software-as-a-Service (SaaS) data protection solution in APEX Backup Services. Built on AWS, it offers high-performance and secure backup, long-term retention, and automated compliance.

For SaaS apps, the APEX Backup Services delivers unified data protection, management, and information governance, including automated compliance and legal hold. Through a single dashboard, it provides complete visibility across Microsoft 365, Google Workspace, and Salesforce.

The APEX Backup Services for Endpoint ensures the protection of one’s devices, whether in the office or on the road. Through a centralized cloud portal, IT admins can remotely supervise the cloud backup and restore operations. Self-service restores are also possible via a web interface and from mobile apps, including iOS and Android. Desktop/laptop support covers Windows, Linux, and CentOS.

Meanwhile, the APEX Backup Services for Hybrid Workloads offers advanced functionality, including long-term retention, reporting, and insight into cloud storage utilization.

With Dell Technologies security solutions, organizations can rest assured that their critical assets are protected 24/7. As a trusted Dell Technologies partner, ICS can help you get a headstart in adopting these solutions and services to reinforce your company’s data security. Interested parties can contact ICS at info@ics.com.ph or visit ics.com.ph to inquire.

 

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Filinvest REIT Corp. to conduct annual stockholders’ meeting on April 20

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Spotlight is BusinessWorld’s sponsored section that allows advertisers to amplify their brand and connect with BusinessWorld’s audience by enabling them to publish their stories directly on the BusinessWorld Web site. For more information, send an email to online@bworldonline.com.

Join us on Viber to get more updates from BusinessWorld: https://bit.ly/3hv6bLA.

Central bank extends key rate pause

BW FILE PHOTO

By Luz Wendy T. Noble, Reporter

THE Philippine central bank kept its key interest rate steady for an 11th straight meeting on Thursday, even as it warned that its inflation target might be breached this year amid surging global oil prices due to Russia’s continued invasion of Ukraine. 

The Bangko Sentral ng Pilipinas (BSP) left the benchmark rate at a record low of 2%, as predicted by 15 of 17 economists in a BusinessWorld poll last week. Deposit and lending rates were also kept at 1.5% and 2.5%. Its last rate move was a 25-basis-point (bp) cut in November 2020. 

“The Monetary Board sees scope to maintain the BSP’s policy settings in order to safeguard the momentum of economic recovery amid increased uncertainty,” central bank Governor Benjamin E. Diokno told an online news briefing, even as it plans to normalize extraordinary liquidity measures started during a coronavirus pandemic. 

“Given the potential broadening of price pressures over the near term, the BSP stands ready to respond to the buildup in inflation pressures that can dis-anchor inflation expectations,” he added. 

The Philippines and other Asian economies including Indonesia and Japan have abstained from the global rate hike cycle led by the Federal Reserve as it awaits signs of significant price increases. 

Mr. Diokno said domestic economic activity has gained stronger traction with easing coronavirus lockdowns. But heightened geopolitical tensions and a resurgence in COVID-19 infections in some countries have clouded the outlook for global economic growth. 

“Supply-chain disruptions could also contribute to inflationary pressures, and thus warrant closer monitoring to enable timely intervention in order to arrest potential second-round effects,” he said. 

Manila, the capital and nearby cities and provinces have been placed under the most relaxed lockdown since March 1, allowing businesses to boost their operations. 

Global oil prices have been spiraling in the past weeks amid Russia’s continued invasion of Ukraine. Russia, the world’s second-biggest crude exporter, and Ukraine are major exporters of wheat. 

Back home, the steep increase in oil prices has fueled calls for higher minimum fares and wages. The government has given out P2.5 billion in fuel subsidies to the transport and agriculture sectors, and was preparing another P2.5 billion in dole-outs. 

The World Health Organization this month warned about the Deltacron coronavirus variant that had started to spread in Europe. China, Hong Kong and Korea are still experiencing an Omicron wave that peaked in the Philippines earlier this year. 

 

INFLATION VIEW 

Mr. Diokno earlier said they were keen to remain patient and would assess a rate increase in the second half, when recovery will have become sustainable. 

BSP Deputy Governor Francisco G. Dakila, Jr. said they expect inflation to average 4.3% this year, above the 2-4% target and faster than the previous 3.7% estimate. Inflation in February was 3%. The central bank also raised its inflation forecast for next year to 3.6% from 3.3%. 

He said their Dubai crude price projection was $102.23 per barrel, higher than $83.33 at the previous meeting after factoring the worsening war. The price is expected at $88.21 per barrel next year from $75.69. 

The Philippines has limited trade with Russia and Ukraine but is a net oil importer. Prices of gasoline, diesel and kerosene have increased by P14.90, P19.20 and P16.35 a liter this year. 

“Higher domestic oil prices are expected to dampen domestic growth prospects,” Mr. Diokno said. “A sustained increase in domestic oil prices may result in the dis-anchoring of inflation expectations, which could lead to second-round effects and further dampen domestic demand.” 

Meanwhile, the governor said the central bank was considering a cut in the reserve requirement ratio for banks. “We might do so in the second half of the year.” 

The BSP might raise the key rate by 75 bps by the end of the year, said Emilio S. Neri, Jr., lead economist at Bank of the Philippine Islands. The possibility of an unscheduled BSP rate hike had also increased amid the weaker peso and volatile oil prices, he added. 

“A more significant risk to the country’s economic prospects is the depreciation of the peso, which will increase the cost of oil that the country imports from abroad on top of the increase brought by the conflict in Ukraine,” he said in a note. 

The Fed’s upcoming rate increases would be crucial in managing local inflation expectations and interest rate differentials, Michael L. Ricafort, chief economist at Rizal Commercial Banking Corp., said in a separate note. 

The Monetary Board will hold its next policy review on May 19. 

Philippine external position to support credit rating — S&P

A STRONG external position would anchor the Philippines’ “BBB+” investment grade credit rating amid the threat of rising prices and slower growth due to Russia’s continued invasion of Ukraine, S&P Global Ratings said on Thursday. 

However, the debt watcher warned that this could widen the country’s budget deficit. 

“As a net external creditor, the Philippines’ external settings remain supportive of the ratings,” S&P said in a note. “On a net basis, lower real gross domestic product (GDP) growth and a modest current account deficit may increase the government’s fiscal deficit.” 

S&P in May 2021 affirmed the country’s “BBB+” investment grade rating, with a stable outlook, meaning it was likely to stay in the next 12 to 18 months. The government had targeted to get a rating upgrade to A- before the world was hit by a coronavirus pandemic. 

Earlier this month, S&P lowered its growth forecast for the Philippines this year to 6.5% from 7%, citing the impact of the war in Ukraine on global oil prices. This is below the government’s 7-9% goal. 

S&P said oil subsidies given to affected sectors such as the transport and agriculture sectors have been “modest and unlikely to dent its fiscal performance.” 

S&P warned that monetary policy tightening by the US Federal Reserve could affect sovereign borrowers in Southeast Asia. 

“With US interest rates on the rise, dollar-funding costs will be a key watchpoint for borrowers such as Indonesia and the Philippines, which actively issue in dollars,” it said.  

“However, the immediate effect of rising interest costs will likely remain manageable. Both governments over the past two years have made more use of domestic debt markets to fund higher fiscal deficits,” it added. 

The credit rating company said members of the Association of Southeast Asian Nations might experience higher interest burden amid a sustained increase in both foreign and local currency rates. The Philippines, Indonesia and Malaysia are among countries that have increased debt levels during the pandemic. 

Outstanding Philippine government debt has risen by a fifth to P11.73 trillion, pushing the debt-to-GDP ratio to a 16-year high of 60.5%. This is higher than the 60% threshold considered manageable by multilateral lenders for developing economies. — Luz Wendy T. Noble

UNCTAD cuts growth estimates for region, world

THE United Nations Conference on Trade and Development (UNCTAD) on Thursday lowered its growth estimates for Southeast Asia and the world due to shocks from Russia’s invasion of Ukraine and changes in macroeconomic policies that put developing countries at risk. 

In report, the UN body changed the projection for Southeast Asia to 3.4% from 4.7% and to 2.6% for global growth from 3.6%. 

“Global growth prospects for 2022 will be affected by downside risks to both supply and demand, compounded by the war in Ukraine,” it said. “On the supply side, persistent disruptions will continue to hamper economic activity.” 

It also said macroeconomic tightening would weaken demand, while rising prices would erode real incomes and dampen investor confidence. “These pressures will only deepen the geographical, financial and socioeconomic fractures that marked the recovery in 2021.” 

It said global growth this year would be slower, more uneven and more fragile than it expected in September. “Our estimates incorporate the two main new features of the world economic situation: The war in Ukraine and tightening macroeconomic policy in developed economies.” 

The economic impact of the war had led it to significantly lower growth estimates as incomes are affected by spiraling food and fuel prices, UNCTAD said. 

It added that global trade has been curtailed by sanctions, while issues on confidence and financial instability have resurfaced. 

“As a result of the conflict, oil and gas prices have surged from already elevated levels, wheat prices have reached levels not seen since the late 2000s, and a wide range of other items including fertilizers, metals and manufacturing inputs are facing severe supply shortages,” the UN body said. 

UNCTAD said some countries might take advantage of higher prices and demand for their commodity exports, while developing countries would face harder economic challenges.  

“Hardly any country will be immune from the deterioration of global growth prospects, although a few may benefit from higher prices and demand for their commodity exports,” it said. 

“On the other hand, developing economies that were in a precarious situation due to debt obligations, supply shocks and term-of-trade and exchange rate swings will see their economic performance deteriorate even further,” it added. 

The Russia-Ukraine war had caused disruptions to global trade and is likely to have longer-term effects on its structure. 

“In the short term, price effects and scarcity are spilling over onto economies more dependent on Ukrainian and Russian exports, especially of commodities, ranging from oil to minerals and food,” it added. 

Sought for comment, Foundation for Economic Freedom President Calixto V. Chikiamco said via Viber message that UNCTAD might be conservative on its projection. 

“The UNCTAD projection may be on the conservative side, perhaps due to the uncertainty how the Ukraine war will end and many are oil importing nations. Also, another possible headwind is if China, which is a major trading partner of Southeast Asia, goes into lockdown due to the rising COVID-19 cases,” Mr. Chikiamco said. — Revin Mikhael D. Ochave 

UnionBank, Globe team up vs scammers

Screenshot of a message commonly sent by SMS scammers.

UNIONBANK of the Philippines, Inc. and Globe Telecom, Inc. have agreed to share personal information as they try to boost measures against scammers who prey on financial clients. 

The disclosure of personal information, which include names, addresses and contact details, by a telecommunication entity such as Globe to a bank like UnionBank to aid fraud investigation is allowed by law, Globe Chief Privacy Officer Irish S. Almeida told an online news briefing on Thursday. 

The National Privacy Commission told the Philippine central bank last year information sharing by financial institutions for fraud investigations does not violate the Data Privacy Act. 

Ms. Almeida noted that before the Globe-UnionBank partnership, a subscriber must first ask a law enforcement agency or court to get information about a suspected scammer account, which could take months. 

“That takes quite a while, and sometimes the subscribers just give up, and they don’t pursue it anymore,” she said. “With this, we’re going to be helping our subscribers really protect themselves from criminals.” 

Under the deal, Globe and UnionBank will share details including the mobile number, name, address and location-based telecommunication activities of suspected scammers. 

Ms. Almeida said Globe has blocked about a billion spam messages and deactivated more than 5,000 mobile numbers that were found to have been involved in fraud schemes. 

She cited increased spam messages promising work to Filipinos who have lost their jobs amid a coronavirus pandemic. 

The partnership would allow UnionBank to work with Globe in identifying fraudulent customers who hide behind prepaid mobile numbers. “We could warn our customers about these potential scammers,” UnionBank Chief Information Security Officer Jose Paulo G. Rufo told the forum. 

The deal would also boost the lender’s ability to check usage patterns and locate scammers through their mobile activities. The information could be analyzed and forwarded to the police and National Bureau of Investigation so they could go after syndicates, he added. 

UnionBank is seeking to partner with more telecommunication providers and other merchants, Data Privacy Officer Maria Francesca R. Montes said. The bank has a similar arrangement with the Credit Card Association of the Philippines, she said. 

Discussions on the use of artificial intelligence to detect fraud are in the early stages, she said, adding that the government should step up its drive against financial cybercrimes. 

Ms. Montes said the country needs special cybercrime courts “because we cannot fully enforce or implement this without proper collaboration and support from the judiciary.” 

Mr. Rufo said UnionBank in December filed charges against people involved in a fraud incident. The lender was among financial institutions that received unauthorized fund transfers from accounts of some BDO Unibank, Inc. clients. 

The Bankers Association of the Philippines earlier said unauthorized withdrawals had reached more than P1 billion amid rising cyber-fraud incidents during the pandemic. 

The Bangko Sentral ng Pilipinas this week told banks to boost efforts to prevent phishing attacks that have led to losses for their clients amid the rise in digital transactions.  

UnionBank’s net income rose by 9% from a year earlier to P12.6 billion last year as revenues improved and loan loss provisions fell. 

UnionBank shares gained P4 or 4.57% to P91.50 apiece at the close of trading at the Philippine Stock Exchange, while Globe rose by P152 or 6.31% to close at P2,560 each. — Luz Wendy T. Noble 

Monde Nissin profit dips as commodity prices rise

FOOD and beverage company Monde Nissin Corp. on Thursday reported P8.2 billion in core net income attributable to shareholders for 2021, down 5.4% amid inflation pressures.

In the fourth quarter of last year, the decline in its attributable income was at 6% to P1.07 billion.

“While we had a strong start to the year, the central challenge for us is how we deal with the global wall of commodity inflation. There is only so much that can be done through supply chain efficiencies, after which there is a mathematical inevitability that we will need to pass on cost increases to our consumers,” Monde Nissin Chief Executive Henry Soesanto said in a virtual briefing.

But he said “all the work” initiated last year has set the company for growth in 2022.

“We will continue to innovate for upcoming product launches, improve distribution in key channels, and market to drive more consumption moments for our products,” Mr. Soesanto added.

In its unaudited financial report for 2021, the company reported consolidated revenue growth of 2% to P69.3 billion, and fourth-quarter growth of 1.4% to P17.8 billion, due to its strong sales performance.

“Our sales increase was driven by pricing action,” Chief Finance Officer Jesse C. Teo said as he cited other drivers such as a favorable foreign exchange rate, and “balanced categories” for the year’s performance.

Core earnings before interest, taxes, depreciation and amortization (EBITDA) fell by 15.2% to P13.2 billion, amid the “continuing high-inflation environment and brand-building activities through advertising and promotion.”

“2021 was a transformative year for Monde Nissin,” Mr. Soesanto said, referring to the publicly listed company’s distinction as the largest initial public offering (IPO) in the country so far.

Monde Nissin raised P48.6 billion from its market listing last year.

“The strong support by a wide range of domestic and international investors provided us with funding to continue our growth and strategic initiatives, which we made significant progress on during the year. Additionally, we were able to grow our revenue despite a challenging operating and economic environment that included inflationary cost pressures and supply chain disruptions,” Mr. Soesanto said.

Monde Nissin has two core businesses: the Asia-Pacific branded food and beverage business (APAC BFB), and the meat alternative business.

The branded business is divided into product groups, namely: instant noodles, biscuits, and other products such as beverages, baked goods and culinary aid. Some of the brands under this business are Lucky Me!, SkyFlakes, Fita, and Mama Sita’s.

The meat alternative business includes the Quorn and Cauldron brands.

Last year, APAC BFB recorded a 2.1% increase in net sales to P54 billion as the international business grew 21.5% to P3.7 billion despite “continued shipping challenges.” The domestic business grew by 1% to P50.4 billion on sustained vol-umes for noodles and a recovery in the biscuits segment in the fourth quarter with a 3.2% growth.

Core EBITDA declined by 11.7% to P11.7 billion due to the normalization of advertising and promotion support to sustain the growth experienced during the pandemic.

Meanwhile, revenues of the meat alternative business decreased by 3.9% amid its stable market share in the UK.

“Price increases taken in the US and UK in late 2020 and early 2021, respectively, resulted in full-year gross profit increasing by 8.1% to P6 billion,” Monde Nissin said.

Core EBITDA declined by 35.6% to P1.5 billion in the full year due to investments in research and development, as well as advertising and promotions.

“Increased global warming and acute commodity inflation show our aspiration to create sustainable food security solutions is more important than ever. Our conviction in Quorn’s production of protein and our determination to play a role in development of the overall category continues. Meanwhile, our new production facility in Southern Luzon, which will also produce our lower oil content noodles, will help us address continued strong demand in our APAC BFB,” Mr. Soesanto said.

He said that Quorn “remains to be the strongest meat alternative brand in the UK with the highest market share, brand awareness, and repeat purchase,” with seven of the top 11 rate of sale performers being Quorn’s new product launches.

“While further price increases from us seem probable, we are mitigating these by having hedged a significant proportion of our input costs. Additionally, due to the current geopolitical situation in Ukraine, we have taken steps in mitigating potential supply chain disruptions by reviewing our key raw materials and ensuring we maintain higher buffer levels. We will continue to review and take necessary measures as the situation evolves,” he added.

At the stock exchange on Thursday, Monde Nissin shares climbed by P0.08 or 0.6% to close at P13.50 per share. — Luisa Maria Jacinta C. Jocson

SEC revokes license of Cashtrees after violations

The Securities and Exchange Commission (SEC) has revoked the license of Cashtrees Lending Corp. for launching and operating unregistered online lending platforms amid a moratorium imposed by the commission.

In an order dated March 16, the SEC found that Cashtrees Lending committed eight violations regarding the moratorium of new online lending platforms.

The lending company also committed another eight violations on the disclosure requirements on advertisements of financing companies and lending companies and reporting of online lending platforms.

“The findings were supported by the results of the joint operation of the SEC Enforcement and Investor Protection Department (EIPD) and the Philippine National Police Anti-Cybercrime Group on February 12 for the implementa-tion of a warrant to search, seize, and examine computer data against Cashtrees Lending,” the SEC said in a media release.

In its report following the operation, Cashtrees Lending was found to have launched and operated eight unrecorded online lending platforms (OLPs) after the moratorium took effect on Nov. 2, namely: Rush Loan, Easy Money, Good Pocket, Lucky Start, Swipe Cash, 365 Cash, Mega Loan, and Gold Peso.

The SEC said it imposed the moratorium in response to the “emergence of financial technology companies engaging in predatory lending, taking advantage of cash-strapped Filipinos in need of quick loans by charging high inter-est rates and imposing strict payment terms.”

Cashtrees Lending also failed to comply with the requirement that lending and financing companies must report their OLPs to the commission prior to their launch and operation.

Lending companies must also disclose in their advertisements and OLPs’ specific information, such as their corporate names, SEC registration numbers, and certificates of authority.

“Due to the multiple violations committed by [Cashtrees Lending] in launching the eight unrecorded OLPs and due to the additional violations… [Cashtrees Lending] showed its wanton disregard of the commission’s rules and reg-ulations,” the revocation order read.

“As the online lending industry is strictly regulated, companies who are either unwilling or unable to comply with the rules imposed cannot be allowed to continue to operate,” it added.

The revocation of Cashtrees Lendings brings to 37 the total number of financing and lending companies with canceled licenses due to various violations.

To date, the SEC has also revoked the primary registration of a total of 2,082 lending companies for their failure to secure the requisite secondary licens

PLDT targets to roll out 145 sites this year as demand grows

PLDT, Inc. is targeting to roll out around 145 sites this year, mainly to support the growing demand for mobile services and sustain the increasing data usages of its subscribers.

“As at Dec. 31, 2021, we have completed 7,200 5G base stations and target to roll out approximately 145 sites in 2022,” the company said in its annual report released on Thursday.

Smart Communications, Inc., the mobile arm of PLDT, had “38,600 4G (fourth-generation)/LTE (long-term-evolution) sites” nationwide as of Dec. 31, the company noted.

“We continue to expand our LTE capacity and roll out more physical sites to widen our coverage in order to sustain the growing demand for our services,” it added.

The mobile network, according to the company, is supported by its fiber infrastructure, which was at 743,700 kilometers as of end-2021.

“These wireless and fiber rollouts and other network-related initiatives made up the bulk of the P89 billion spend for 2021, in line with guidance.”

The telco service provider also said its mobile broadband now covers more than 96% of the population and is present in over 96% of the country’s cities and municipalities.

PLDT has set its capital expenditures (capex) for 2022 at P76 billion to P80 billion, lower than the P89-billion capex last year.

Its net income for 2021, which includes exceptional costs, grew by P2.1 billion or 9% to P26.4 billion.

Total service revenues for 2021 went up 6% to P182.1 billion from P171.5 billion in 2020.

Broken down, revenues from the company’s consumer and enterprise segments increased 7% to P176.1 billion from P165.3 billion.

Meanwhile, revenues for fixed wireless business grew 47% to P3.3 billion in 2021, “as limited mobility confined customers to their homes and increased the demand for more affordable and accessible fixed wireless broadband internet solutions, particularly in areas not yet served by fiber,” PLDT said in an e-mailed statement.

“As of year-end 2021, Smart’s fixed wireless subscriber base reached approximately 1 million subscribers.”

Its telco core income rose 8% to P30.2 billion last year from P28.1 billion in 2020.

Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a majority stake in BusinessWorld through the Philippine Star Group, which it controls. — Arjay L. Balinbin

Alsons posts 24% higher profit

ALSONS Consolidated Resources, Inc. (ACR) on Thursday reported a 24% increase in its 2021 net income attributable to equity holders due to higher revenues, which was largely driven by its power segment.

Last year, ACR’s attributable net income climbed to P405 million from the P325 million logged in 2020, the company said in a press release filed with the stock exchange.

“The publicly listed company of the Alcantara Group reported that consolidated revenues for 2021 grew 6% to P10.05 billion from P9.47 billion in the prior year,” ACR said.

It said the 210-megawatt (MW) Sarangani Energy Corp. baseload power plant remains the key revenue and income driver for the company, although it did not state details of the unit’s contribution to ACR’s total income.

Earlier, the company was granted a rating upgrade of PRS Aa minus (corp) from PRS A plus from the Philippine Rating Services Corp. (PhilRatings) for its third P3-billion issuance of commercial papers.

The rating upgrade was due to the firm’s “strong profitability” despite the pandemic, its planned expansion projects that is expected further diversify its power generation mix, and its “ability to establish joint ventures.”

The proceeds of the issuance will be allotted for the company’s general working capital. The company also said that its board of directors appointed RCBC Capital Corp. as its new lead underwriter and joint issue manager for its remaining commercial papers.

The first tranche of the issuance worth P1.4 billion was used last year and was listed at the Philippine Dealing & Exchange Corp. (PDEx) in July 2021, while the second tranche of P600 million was listed in November 2021.

The company is building a 14.5-MW hydroelectric power plant at the Siguil River basin in Sarangani, an addition to its four power facilities with an aggregated capacity of 468 MW, covering 14 cities and 11 provinces in Minda-nao.

ACR shares at the stocks exchange climbed six centavos or 5.83% to close at P1.09 each on Thursday. — Marielle C. Lucenio

CREIT uses 327-million over-allotment shares

CITICORE Energy REIT Corp. (CREIT) on Thursday said it would use the over-allotment option for its initial public offering of shares.

“The option shares of 327,273,000 common shares will be fully exercised,” CREIT’s stabilizing agent BDO Capital & Investment Corp. said in a Notice of Exercise of Overallotment Option filed to the exchange.

CREIT initially offered 2.18 billion common shares with the over-allotment option at offer price of P2.55 apiece.

“The reason behind CREIT’s usage of the overallotment option is due to strong demand from investors,” CREIT President Oliver Y. Tan said a Viber message.

It can be recalled that the company has deferred its market debut earlier due to “voluminous transactions.” On its listing day on Feb. 22, CREIT ended 11.37% higher, closing at P2.84 apiece from its IPO price of P2.55.

The country’s first energy-focused REIT sold 2.509 billion shares for P2.55 apiece. It sold 1.05 billion primary common shares, while sponsor Citicore Renewable Energy Corp. (CREC) sold 1.13 billion secondary shares and an over-allotment of 327.27 million shares.

It was said that the net proceeds from the IPO will be used to purchase properties in Bulacan and South Cotabato.

On March 9, CREIT reported that its board of directors approved to purchase land parcels from Citicore Solar Bulacan, Inc. with an aggregated area of 253,880 square meters (sq.m.) in Bulacan for P1.75 billion and a 79,997 sq.m. of land worth P753.8 million from Citicore Solar South Cotabato, Inc.

CREIT targets to boost its power portfolio to 1,500 megawatts (MW) in the next five years, from the existing 145 MW, to meet growing demand for renewable energy.

The company’s shares at the exchange went down by five centavos or 1.88% on Thursday to close at P2.61 apiece. — Marielle C. Lucenio

Crown Asia earnings up 85% to P220M

CROWN Asia Chemicals Corp. on Thursday reported its earnings increased by 85% to P220 million in 2021 after a double-digit increase in revenues.

“As the economy treks toward growth in 2021 and 2022, Crown Asia broadens significantly in supply to flagship infrastructure projects such as North South Commuter Railway, Metro Subway, MRT-7, skyway 3 extension and the like,” the company said in a disclosure on Thursday.

Revenues were up by nearly 56% to P1.74 billion last year from P1.12 billion in 2020.

Crown Asia said that revenues were on an upward trend with 57% contributions from pipe products, such as PVC, PPR, and HDPE pipes; 42% from premium PVC compounds; and 1% from other product lines such as PVC thermal roofing, septic tank and bathroom essentials.

“Private developments likewise hold its ground with on-going supply to reclamation projects in Cebu which will enhance Cebu’s economic growth by boosting tourism and adding land mass for mixed-use developments, which is a growth driver for Cebu. [Crown Asia] pipes are used in premier constructions of big named property developers,” the company said.

The plastic compound producer currently covers distribution and supply nationwide, having over 2,000 dealers in Luzon, Visayas and Mindanao.

To date, the company operates two production plant sites and three sales depots in Bulacan, Cebu and Davao.

Crown Asia said that due to the increase in sales, it is adding new machinery and equipment to expand production capacity.

The company also acquired a property in Valenzuela to support the expansion of sales and output, which also houses the production of PVC thermal roofing and added storage spaces for company products.

“[Crown Asia] is on top of its strategic planning to sustain its growth for the medium and the long term. These may cover new innovative products to be launched, plant/production expansions, more machineries and equipment, more distribution centers, more advanced technology, to sustain higher margins,” the company said.

The listed firm is engaged in the production of plastic compounds, plastic pipes and other related products such as polyvinyl chloride (PVC) pellets, which are used directly and indirectly in the construction and telecommunica-tions industries.

At the stock exchange on Thursday, Crown Asia shares were up by 3.3% or P0.06 to finish at P1.88 each. — Luisa Maria Jacinta C. Jocson

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