Manila Water borrows P3 B from Landbank
East zone concessionaire Manila Water Co. Inc. has secured a P3billion long-term loan from state-run Land Bank of the Philippines.
In a disclosure to the Philippine Stock Exchange yesterday, Manila Water said it signed a P3-billion 10-year term loan facility with the Landbank.
“The loan will be used to partially finance Manila Water’s general corporate requirements, including capital expenditures,” it said.
From 2023 to 2027, Manila Water is set to spend P181 billion, bulk of which will be for capital expenditure programs amounting to P105 billion for both its water and wastewater projects.
The focus of the capex projects will be water supply security, service accessibility and continuity, and wastewater coverage expansion.
In 2022 alone, the company installed a total of 33,070 new domestic water service connections, which translates to 165,350 families now enjoying 24/7 water supply and quality water and sanitation services from Manila Water.
This brings to 1.095 million the total number of domestic connections that Manila Water served by end-2022.
The borrowing from Landbank comes a month after Manila Water’s subsidiary Bulakan Water Co. Inc. signed a P200-million, 10-year term loan with the Bank of the Philippine Islands.
Proceeds of the loan will be used to finance the refurbishment, expansion, and improvement of the service facilities and the water source and distribution system, and provision of sanitation services in the service area of Bulakan Water.
Bulakan Water – which is 90-percent owned by Filipinas Water Holdings Corp., another unit of Manila Water, and 10-percent owned by Bulakan Water District (BuWD) – provides water facilities and water and sanitation services in the Municipality of Bulakan.
Manila Water is committed to building climate-smart and resilient infrastructure to ensure uninterrupted water supply to its increasing customers and adapt the Decarbonization Roadmap to meet Net Zero by 2050.
The company serves the east zone, covering parts of Makati, Mandaluyong, Pasig, Pateros, San Juan, Taguig, Marikina, most parts of Quezon City, portions of Manila, as well as several towns in Rizal.