Business group supports Razon’s bid for Hanjin

The Chamber of Commerce of the Philippine Islands (CCPI), the country’s oldest business organizations, has thrown its strong support behind the bid of Filipino tycoon Enrique K. Razon for Hanjin Heavy Hanjin Heavy Industries and Construction Philippines.

“We would rather have Hanjin fall into the hands of Filipino businessmen than to foreign companies,” said CCPI President Jose Luis U. Yulo Jr.

Yulo stressed that Hanjin’s expertise can be tapped to help Filipino firms run the shipbuilding facility in Subic, which has filed for bankruptcy.

“Hanjin can be tapped as consultants or managers with a program to teach and support Filipino skills in shipbuilding,” Yulo said.

Yulo is likewise urging the government, the banks and capital markets to support this move.

“Shipbuilding is a national interest and a national security issue, given that we are an islands nation,” added Yulo.

Hanjin could provide a synergy to Razon’s global port operations. The billionaire’s International Container Terminal Services, Inc. (ICTSI) operates ports concessions in different countries with thr Manila International Container Terminal as its flagship operation.

Earlier, Razon expressed interest in Hanjin saying he saw "some potential" in developing Hanjin's facilities in Subic Freeport.

The Korean shipbuilder, which has filed for bankruptcy at a Subic court, is in search of a “white knight” for its $412-million debt from local banks.

The government through the Board of Investments is also helping Hanjin find that “white knight.”

The BOI, which is chaired by Trade and Industry Secretary Ramon M. Lopez, said there have been interested foreign investors, including Chinese groups.

In an ABS-CBN report, Razon cited the potential of the Hanjin facilities.

Razon was quoted in the interview that the Korean firm’s infrastructure have already been put in place and could be useful for a possible industrial complex with container port facilities, a liquefied natural gas terminal, dry bulk handling facilities and agricultural support handling.

The billionaire also mentioned of a "scaled down" ship building ship repair facility.

In January this year, Hanjin filed for rehabilitation before an Olongapo City court. Its 5 creditor banks, among the Philippines' biggest, are looking at collective action to settle its $412million (121.6-billion) debt.