Stability, strategy, strong performance boost PLDT, First Pacific share value

The anticipated strong financial performance of PLDT for year 2003, the solid support given by the Salim Group of Companies to the leadership of Manuel V. Pangilinan, and a viable strategy for growth have driven the share price of PLDT and First Pacific higher these past few weeks.

PLDT shares have risen from a low of about P230 to current levels of over P540. First Pacific shares, on the other hand, have shot up to over $1.30 from a low of 79 cents at the height of the Gokongwei takeover attempt last year.

Financial analysts attribute the sharp climb to PLDT’s sterling first quarter performance, and the recent appointment of Pangilinan as First Pacific group CEO which resolved the internal management conflict within First Pacific and was viewed as a strong vote of confidence by the Salim Group on Pangilinan.

"First Pacific is now a united company, with a focused vision, a single driver, and two strong core assets, namely PLDT and Indofoods," explained a strategic analyst. "We believe they are in a much better position to move forward and hurdle their challenges today minus the internal conflict they had which affected the company negatively in the past."

First Pacific’s rising stock price "indicates that we are in the right direction and that the investing public is taking another look at us,"Pangilinan said. "We are committed to working harder with the First Pacific team to grow the company for our shareholders and the public we serve," he added.

PLDT’s performance in the bourse, on the other hand augurs well for the regional strategy being mapped out by First Pacific. According to Pangilinan, the long term strategy involves building around the two core assets of First Pacific: PLDT and Indofoods.

"We are looking at complementary assets within the region that could be a solid base for future growth of First Pacific," he added.

Pangilinan and First Pacific chairman Anthoni Salim are working hand in hand to finalize the details of the strategy that would strengthen First Pacific’s financial position and allow it to grow in the future. The Salim group recently announced that it is "throwing its full support behind Pangilinan and his present management team."

Benny Santoso, high ranking officer of the Salim Group said the group "is committed to supporting the strategies and plans the board decides to execute for First Pacific".

"With the original management team that built First Pacific back in place, we are optimistic that the best is yet to come," he added.