Aboitiz Equity sets 2018 capex at P50-B

MANILA -- Conglomerate Aboitiz Equity Ventures Inc. (AEV) will spend up to P50 billion next year, same level as this year, as it eyes growth in power and infrastructure.

AEV Senior Vice President and Chief Financial Officer Manuel Lozano told reporters this week that its subsidiary, Aboitiz Power Corp., will be completing several power projects next year, bringing its attributable capacity close to 3,500 megawatts (MW).

Its power initiatives include the Pagbilao expansion project in Quezon province, the Therma Visayas coal-fired power plant in Cebu, and the Manolo Fortich hydropower facility in Bukidnon.

Lozano said the GNPower coal-fired power plants in Bataan will also come on stream next year.

“So there will a lot of new capacity coming in for us in 2018,” he said.

Apart from power expansion projects, Lozano said AEV’s joint venture with J.V. Angeles Construction Corp., the Apo Agua Infrastructura Inc., will also need financing for the P13 billion water supply project in Davao City.

“Our cement plant (also) begins either in 2018 or early 2019 to also expand potentially,” he said.

“Hopefully, we see demand picking up, it looks like some of the 'Build, Build, Build' projects will start in 2018, that will help the industry,” he added.

Lozano also said the conglomerate is actively looking for projects here and abroad.

“We are focused on water, but we are also looking hopefully at airport (projects) if they are available and some of the rail projects. But right now, nothing is imminent, still exploratory yet,” he said.

Lozano said they are interested to participate in the bidding for the upgrading of the Ninoy Aquino International Airport (NAIA) and the Iloilo, Bacolod-Silay and Laguindingan airports.

AEV is also preparing to bid on hydropower projects in Myanmar and Indonesia.

“We are also looking now at a couple of oth-

er countries aside from those,” he added. “If there is an acquisition that will crop up, we would consider it. But right now, we are really green field (projects) focused,” he said.

AEV is the public holding company of the Aboitiz Group with major investments in power, banking and financial services, food, infrastructure and land. PNA