Sytin’s brother summoned for preliminary investigation

March 19, 2019 | 8:38 pm

THE DEPARTMENT of Justice (DoJ) summoned for preliminary investigation the younger brother of slain businessman Dominic L. Sytin, the alleged mastermind of the murder. The complaints of murder and frustrated murder against Dennis L. Sytin are scheduled for preliminary investigation on April 1. “You are hereby warned that failure on your part to comply with this subpoena shall be considered as a waiver on your part to present your defense/s in this preliminary investigation and the case shall be considered submitted for resolution based on complainant’s evidence only,” the subpoena read. The elder Sytin was gunned down outside the Lighthouse Hotel at the Subic Bay Freeport Zone on Nov. 28, 2018 while his body guard Efren Espartero was left wounded. He was chief executive officer of United Auctioneers, Inc., chairman of Foton Philippines, and director and chairman of the board of the listed LMG Chemicals Corp. Police Director General Oscar D. Albayalde, in a press conference on March 11, said the younger Sytin is the alleged mastermind in the killing after being identified by the alleged hitman Edgardo Luib in his testimony. Regional police authorities said the Sytin brothers were in conflict due to the business. — Vann Marlo M. Villegas

Measles claims 5 lives in Western Visayas

March 19, 2019 | 8:32 pm

MORE THAN one month after a measles outbreak was declared in Western Visayas, the number of suspected cases in the region stood at 1,317 as of March 15, with five deaths attributed to the preventable disease. The Department of Health-Center for Health Development regional office (DoH-CHD6) reported that more than half of the suspected cases belong to the five years old and below age group at 626, followed by 16 years old and above at 563), and 6-15 years old with 128. Negros Occidental still had the highest number of cases with 473, followed by Antique (231), Bacolod City (146), Iloilo province (217), Aklan (93), Iloilo City (63), and Capiz (59). Vincent J. Sumergido, DoH-6 senior health program officer, said their priority target for measles vaccination are still 6-59 months old children “because they also have greater chances to suffer from complications.” Mr. Sumergido noted a shift in parents’ attitude towards vaccination. “The environment of the parents have changed. They now opt for voluntary immunization,” he said. Health officials said they are targeting to finish the immunization for 6-59 months old by the end of March and the school-based immunization on April 5. — Emme Rose S. Santiagudo

Boracay workers appeal SC decision on constitutionality of Boracay closure

March 19, 2019 | 8:32 pm

WORKERS IN Boracay and a tourist have asked the Supreme Court (SC) to reconsider its decision upholding the constitutionality of the six-month closure of Boracay Island in 2018. In an appeal filed March 13, the petitioners, represented by the National Union of Peoples’ Lawyers, asserted that the order is unconstitutional and there was an “actual and deliberate impairment of the right to travel” when the island was temporarily closed, which is a violation of the Constitution. The petitioners asked the SC in April 2018 to issue a temporary restraining order against the closure, but the high court dismissed it only last Feb. 12 on the grounds that there was no impairment of the right to travel as it was “merely incidental” and the proclamation was a valid police power measure. President Rodrigo R. Duterte ordered the closure of Boracay, which he described as a “cesspool,” for rehabilitation from April 26 to Oct. 25, 2018. — Vann Marlo M. Villegas

Chedeng weakens to tropical depression after landfall over Malita

March 19, 2019 | 8:20 pm

TROPICAL DEPRESSION Chedeng weakened into a low pressure area after making landfall over Malita in Davao Occidental on Tuesday morning, but “scattered to at times widespread moderate to heavy rains” continued to pour over parts of Mindanao for the rest of the day. The affected areas were: Surigao del Sur, Agusan del Sur, Davao Region, SOCCSKSARGEN, and portions of Northern Mindanao, Bangsamoro and Zamboanga Peninsula. All typhoon warning signals were lifted by weather bureau PAGASA by 8 a.m. Tuesday, but maintained warnings of possible landslides and flooding. Small sea vessels were also still advised not to venture at the eastern seaboard of Visayas and the eastern and southern seaboards of Mindanao.

Masipit Bridge clearing

March 19, 2019 | 8:17 pm

The Masipit Bridge in Tarragona, the link to the capital Mati City in Davao Oriental, has been temporarily closed to all types of vehicles after it was deemed unstable due to scouring following the rains brought about by tropical depression Chedeng on Monday to early Tuesday. The Provincial Disaster Risk Reduction and Management Office (PDRRMO) immediately reported the situation to the Department of Public Works and Highways for assessment and response.

Sister cities join 82nd Davao foundation day

March 19, 2019 | 8:16 pm

DAVAO CITY’S sister-cities within the Philippines and abroad joined the 82^nd Araw ng Dabaw in the first Sister Cities Trade Fair and Exhibit held at the SM Lanang over the weekend. “We hope that Dabawenyos and our visitors will become more aware of the products and services offered by our sister cities. This is our way of helping in the promotion of our sister cities,” Davao City Investment and Promotion Center chief Lemuel G. Ortonio said. “This is an opportunity for Dabawenyos to make new friendships and learn more about their culture,” said Mayor Sara Duterte-Carpio. Davao’s local sister cities are: Angeles in Pampanga; Marikina, Quezon and San Juan in the National Capital Region; Liloan town in Cebu; Basud town in Camarines Norte; and Dapitan City in Zamboanga del Norte. The foreign partner cities are: Jinjang and Nanning in China; Bitung and Manado in Indonesia; Kitakyushu City in Japan; Kawaii County in Hawaii, USA; and Tacoma City in Washington, USA. Countries with consulates in Davao also joined the exhibit. — Carmencita A. Carillo

Cebu City water distributor taps suppliers to plug daily deficit

March 19, 2019 | 8:12 pm

FACED WITH a 15,000-cubic-meter (cu.m.) deficit in water supply daily, the Metropolitan Cebu Water District (MCWD) is tapping suppliers for additional volume to improve service in several areas experiencing low pressure to no water supply. MCWD, in a statement on Monday, said they are ready to accept the additional volume from existing bulk suppliers as well as the offer of Mactan Rock Industries Inc. (MRII). “MCWD is ready to accept the 2,500 cu.m. per day in Mactan and 2,000 cubic meter per day from the Cebu City plant of MRII. Also, MRII offered to treat the wells in Apas that are affected by high levels of nitrate,” MCWD said. MCWD General Manager Jose Eugenio Singson Jr. said that once the water district determines that the treatment price is acceptable, it will enter into an agreement with MRII. MCWD’s average daily production of 238,000 cu.m. has gone down due to the dry spell and the lowering of water levels of its Jaclupan facility and the Buhisan Dam. — The Freeman

Nation at a Glance — (03/20/19)

March 19, 2019 | 8:09 pm

News stories from across the nation. Visit www.bworldonline.com (section: The Nation) to read more national and regional news from the Philippines.

IPOs and acquisitions — Finding your ‘exit’ as a Philippine startup

March 19, 2019 | 7:55 pm

Though every founder of course has a vision for their company, product, and industry, they also have a financial dream: All of them want to “exit.” In most cases, this exit will take the former of an acquisition by a larger company, often in the same space but not always, and in rarer instances, an initial public offering (IPO), like Facebook and Snap did in the United States.
Though acquisitions are less common in the Philippines, given how nascent our tech ecosystem is, there is still significant activity, especially over the last couple of years. Studying the upswing in merger and acquisitions in the country is important for founders — especially those thinking of what business to ultimately pursue — because it gives deeper insight into what enterprises and investors are looking at as the next big thing.

With this frame of mind, here is what the last three acquisitions in the Philippines reveal.

The Philippines becomes a key market in Southeast Asia

Indonesian unicorn Go-Jek had tried to expand into the Philippines only to be rebuffed by the Philippine Land Transportation Franchising and Regulatory Board (LTFRB), who cited policy which stated that transport network companies (TNC) need to be owned at least 60% owned by Filipino individuals or entities.

Go-Jek was not to be deterred however. Less than one month since its LTFRB rejection on December 20, 2018, Go-Jek purchased a majority stake in Philippine fin-tech company Coins.ph for a reported tune of $72 million, according to TechCrunch. That Go-Jek was willing to enter the Philippines in such a roundabout way, and do so at such a significant cost, points to the growing primacy of the Philippines in Southeast Asia.

While Indonesia is predicted to one day become the fourth largest economy in the world, and Singapore will always be Singapore, the Philippines is a crucial battleground for tech giants in the region. Winning their space in Asia now also means that they must succeed in the Philippines.

The country can be a launchpad for enterprise solutions

Though consumer-facing businesses like Coins.ph may command all the attention, B2B businesses in the Philippines are still a promising part of the new digital economy. We can witness this in the recent acquisition of Filipino business services platform Full Suite by Singaporean company, Viascari.

Full Suite was founded in 2010 by Danella Yaptinchay, who grew it to be one of the go-to resources for business registration, intellectual property and trademark registration, bookkeeping, and everything in between. According to Newsbytes, Yaptinchay had been looking for a partner or investor to help Full Suite grow even further when she chanced upon Viascari, which ran financial concierge The Offshore Concept and was looking to expand its footprint across Asia with its 60 accountants, paralegals, and other business experts.
Now led by Viascari founder Maggie Po, who assumes the role of Chief Strategist for Full Suite, the platform is set to expand to Singapore. While Full Suite in the Philippines focuses on helping MSMEs with business registration, renewal, retirement, back-office support, its counterpart in Singapore will concentrate on strategic finance, advising some of the largest companies in Asia on fundraising, runway management, and mergers and acquisitions.

That Full Suite is expanding regionally just goes to show that local companies can develop enterprise solutions that cater to the top companies in the country, and in time, those in Asia and indeed around the world.

Traditional companies are turning toward tech

While traditional businesses in more mature markets understand the value of digital, their local counterparts in the Philippines have long been criticized for sticking to the status quo. Outside of a few acquisitions by local telcos, such as Smart’s purchase of Chikka, most Philippine corporations have steered clear of tech startups.
Yet the tide is turning. Last year, Sterling Paper, one of the largest conglomerates in the Philippines, acquired ChatbotPh, a startup focused on developing chatbots. Such could be the first salvo in a trend toward local corporations eyeing startups, particularly those working in bleeding edge technologies like blockchain, automation, artificial intelligence, and others.

In the end, there is plenty of noise in the tech and business world, but Filipino founders would be particularly well-served to focus on acquisitions, as — like the footlights in a movie theatre — can illuminate the path to your own exit.

Apol Tokwator is a freelance writer and founder of her own online retail business, Neinee90s.

This 4×4 is also a daily driver:Jeep wrangles a ladies’ man

March 19, 2019 | 6:29 pm

Text and photos by Kap Maceda Aguila

GENERALLY, vehicles built for off-road driving are hardly known for subtlety, or even creature comforts. The ability to take on the most difficult of terrains often overrides the interest in providing finesse and refinement because, well, it just doesn’t look the part.
If we are to believe Jeep’s assessment of its new-generation Wrangler — unveiled in the Philippines on March 6 — then the newest generation of the iconic 4×4 has pulled off the unlikely dichotomy of true off-road driving capability and everyday drivability.
It’s so drivable, in fact, that anyone (with a license, of course) can just hop in and take the wheel for a comfortable drive. “Globally, we sell the Jeep brand as an outback vehicle to a niche market who wants to bring the car out of the city, to the outback and stuff,” said Fiat Chrysler Asia Pacific country manager Isaac Yeo, in an exclusive interview with BusinessWorld. “[But] when we look at the ladies, a lot of times they don’t want to do that — especially in the Philippines. The car might not be comfortable, it might not have a backup camera.”
So, the American car maker, cognizant of filling in the gaps in the Wrangler’s appeal to female drivers (and even the men who do a lot of everyday commuting outside of the boondocks), refined the model’s broader-spectrum appeal. “If you look today at the all-new Jeep Wrangler, the car is lightweight, the 2.0-liter engine has high horsepower and high torque, and the best thing is that the steering column for this car is more drivable and is very easy to maneuver compared to the previous generation,” added Mr. Yeo.
Of course, the SUV still has the iconic look that has distinguished it throughout the decades since debuting in war-torn 1941. It begins with the familiar seven-slot grille and round headlamps, which Jeep designers complemented with “[an] angular roofline, muscular fenders, and high stance while keeping its traditional design cues.” The exterior boasts a wide and lower beltline, and bigger windows for increased visibility. On the rear fascia are square LED tail lamps which have been “slightly offset” in position to accommodate blind-spot monitoring.
“The Jeep brand is well-recognized around the world and there is no vehicle that represents the essence of Jeep the same way the Wrangler does. Its comeback is also timely for us as we mark our 15^th anniversary with the brand as its official importer and distributor in the Philippines,” said Auto Nation Group chief operating officer Francis Jonathan C. Ang in a speech.
An interesting part in the local launch held at the newly renovated Jeep showroom on EDSA was a demonstration of the ease with which one can enjoy open-air driving. A team dismantled the lightweight aluminum parts, such as the swing gate, doors and roof in about 10 minutes. Each Wrangler will come with the tools needed to remove the parts. The windshield was also easily folded down while retaining the rearview mirror in place.
Again, this natural inclination for the great outdoors and rough play is now tempered with docility and polish. In a statement, Jeep posited that the “Wrangler’s interior combines authentic styling, versatility, comfort, and intuitive feature use.”
Signature Jeep looks are combined with soft-touch, high-quality materials, as well as technological accoutrements such as a configurable instrument cluster displaying media, tire pressure and speed, among others; a new media center with charging and connectivity ports; climate and volume control knobs; and an engine stop/start control. In the center console is a proprietary Uconnect system with five-inch screen display boasting a customizable drag-and-drop feature. The driver can control audio, voice and speed functions via buttons on the wheel.
Powering the all-new Wrangler is a 2.0-liter turbocharged inline four-cylinder diesel engine, said to be fuel-efficient. The driver can access 284hp and up to 400Nm through an eight-speed automatic transmission. A 3.6-liter Pentastar V6 engine-motivated Wrangler is expected to be brought into the country in the near future. Rough play is still encouraged; you can even hose down the interior should it get muddy or dirty (just don’t forget to remove the carpeting).
The new Wrangler is now available for pre-orders and reservations at all Jeep dealerships nationwide (EDSA Greenhills, Alabang, Clark Pampanga, and Cebu) for P3.59 million (Unlimited Sport) and P3.39 million (Sport).
Mr. Yeo also wants people to know that the back seats offer “extra leg room,” and that the Wrangler can also be a true family car as well. “The lady can have her husband drive, and she can be sure the kids will be comfortable in the second row,” he averred with a smile. And, yes, there’s a backup camera — with dynamic gridlines, to boot — as well as “more than 75 available active and passive safety and security features [such as] rear cross path detection… electronic stability control, and multiple air bags.”
Again, the big picture is to present a complete package of safety and ease to complement the already famous ability. “The strategy is to make it appeal to customers that have never driven a Wrangler before. In the Philippines, the average age of Filipinos is 25 years. The next generation would want a car that is comfortable as a daily driver. We don’t need to sell the Jeep as an outback car. Anyone can jump in the car and drive it.”
Just make sure it’s your Jeep, of course.

The conquering Cullinan:First Rolls-Royce sport-ute rolls into PHL

March 19, 2019 | 6:29 pm

Text and photos by Kap Maceda Aguila

PURISTS may have screamed “Sacrilege!” at the mere idea of uber-luxury brand Rolls-Royce deigning to put out an SUV, but the fuss all surely looks like much ado about nothing now. It was a logical next step, anyway.
That’s what Sven Grunwald exclusively told BusinessWorld at the Philippine launch, held on March 13, of the Rolls-Royce Cullinan, the car maker’s first entry in the highly popular sport-ute market.
“If you look historically, we’ve had patrons that have been using the Rolls-Royce off road [such as] Lawrence of Arabia [T.E. Lawrence], the Maharajas of India. People have been taking our cars off-road because of their quality and durability.”
It’s hard to argue with that kind of history, of course. But it’s also impossible to ignore the fact that the format has gained an incredible amount of traction among car buyers. The Rolls-Royce Motor Cars Asia Pacific product and operations manager said that the Cullinan represents a “natural continuation” and a “logical next step that comes certainly from customer demand.” Still, he averred; “We don’t jump into the next trend. For us, it’s a long-term strategy and development, and we make sure that the product is in its absolute perfect stage before we bring it to the market.”
Named after the world’s largest gem-quality rough diamond ever found, the Cullinan was systematically and deliberately developed over some of the harshest of environments such as the Scottish highlands, ice-blanketed passes of the Austrian Alps, and sand dunes of the Arabian peninsula.
All-wheel drive and all-wheel steering lends further confidence and credence to an already compelling 6.75-liter, 48-valve, twin-turbo V12 engine generating a robust 563hp and 850Nm. Designers and engineers made sure the Cullinan looks every inch a Rolls-Royce — with the signature long hood and an execution of the familiar Parthenon grille. The number of customization options is expectedly high.
And as one would correctly guess, a large part of the Rolls-Royce allure lies in its unmatched riding and driving comfort. The British brand even has a name for it: “magic carpet ride.” Mr. Grunwald explained; “From an engineering standpoint, that was the hardest challenge. To make sure that the on-road experience is still the same as what you’d expect from a Rolls-Royce, while you’re able to venture out on rougher terrain.”
The Cullinan suspension system is second to none in this regard. According to the company’s news release, it performs “millions of calculations every second as it continuously varies the electronically controlled shock absorber adjustment system — reacting to body and wheel acceleration, steering inputs and camera information.” Meanwhile, a double-wishbone front axle and five-link rear axle controls lateral roll and shear forces to deliver incredible agility and stability, as does the addition of four-wheel steering, all contributing to incredible drivability and nimbleness. An electronically controlled shock absorber adjustment system uses an air compression system to actively push down any wheel it detects losing traction to ensure every wheel is constantly in contact with the ground and maximum torque is being provided to all wheels.
“All of these systems help the car perform to a level that you would expect a Rolls-Royce to — particularly on the off-road side, previously an unknown factor. Everybody who’s driven it is amazed by the on-road capability because it drives like a Ghost sedan,” explained Mr. Grunwald. “When you take it off-road, you have the capability to go up steep inclines and over gravel, mud and rivers. That is achieved through increased space in the air suspension by 40%.” The Cullinan reportedly touts a water-wading depth of 540 millimeters.
The executive described how the SUV “blends beautifully” into Rolls-Royce’s current portfolio. “We’ve got the Phantom, which is always the pinnacle [and] the car for special occasions; Ghost, the luxury, business sedan; Wraith, the ultimate grand tourer for self-driving pleasures; and Dawn which is the very sociable convertible… [In the Cullinan] we now have a car which is sociable as well, and is extremely practical due to its interior options, and which is actually targeted at families as well.”
Perhaps most important of all, the Cullinan is proving to be a popular (well, popular by Rolls-Royce standards) gateway into the brand. Of the customers who have so far bought the Cullinan thus far, “50% is conquest, or new to the brand,” revealed Mr. Grunwald. “People who previously might not have considered a Rolls-Royce before are now saying this is exactly what they’re looking for.”
In concert with its Black Badge editions, the Cullinan (available in four- and five-seat configurations) onslaught is enabling Rolls-Royce to target younger customers and self-drivers. “For our brand it’s incredibly important to develop with the times, to make the car interesting to more people.”
For Autohub Group president Willy Q. Tee Ten, whose company is the authorized distributor of the Rolls-Royce here, the Cullinan’s arrival is timely.
“The Philippines is an SUV country,” he said in a speech, “And the Cullinan is the car our customers have been waiting for, perfectly suited for this market with unmistakable presence on and off-road. This is the car that will set the new benchmark for super-luxury in the SUV segment, an all-purpose Rolls-Royce for our captains of industry.”

Toyota donates coaster to Paralympics group

March 19, 2019 | 6:27 pm

TOYOTA Motor Philippines (TMP) said it recently turned over a Toyota Coaster to the Philippine Paralympic Committee (PPC) to support Filipino Paralympics athletes. The donation was made under Toyota Motor Corporation’s global initiative, called “Start Your Impossible,” which aims to provide opportunities to Paralympics athletes.
“We are proud to be a part of this advocacy because it allows us to help change people’s lives by enabling them to overcome challenges and reach their aspirations,” said TMP president Satoru Suzuki during the turnover ceremony held at the PPC facilities in Pasig City.
TMP said the Start Your Impossible initiative is also “a cause being championed by PPC president Michael I. Barredo.
“Ever since we started, having a bus or van to be used by our officials, coaches and athletes to move around in was one of the top priorities on our ‘wish list.’ Toyota’s donation. . . will help alleviate one of the most difficult challenges persons with disabilities face day-to-day, which is mobility,” Mr. Barredo said.
The Coaster is a minibus that seats 29 passengers.
TMP said the donation is just one of its efforts under the Start Your Impossible program. It noted that, last year, the company chose the PPC and its Asian Para Games swimming gold medalist Ernie Gawilan to be the primary beneficiaries of the 2018 Toyota Classics — a benefit concert series that supports charities across Asia.