GT Capital open to partnerships for PPP

MANILA, Philippines - GT Capital Holdings Inc., the investment arm of the Metrobank Group of Taipan George S.K. Ty, is open to forging partnerships with entities vying for projects under the government’s Public-Private Partnership (PPP) program, according to its top executive.

 â€œIf we can get a strategic partner, why not,” said GT Capital president Camelo Bautista when asked whether the group was looking at bidding for PPP projects to be bid out by the Aquino administration.

Bautista, however, was quick to point out that nothing is on the table right now, and the holding firm remains focused on further growing its core businesses which include financial services, real estate, automotive distribution, insurance and power.

He said the group is open to anything that can add value to its businesses on the back of the country’s strong economic growth and robust consumer spending.

The group was earlier looking at the Bohol Airport in line with its strategy to seize long-term profitable business opportunities in key sectors of the economy.           Bautista said GT Capital expects to sustain its upward trajectory this year on higher contributions from its major businesses.

GT Capital has diverse investments in established companies that are dominant in their respective markets that include Metrobank, Federal Land, Toyota Motor Philippines, Global Business Power Corp. and Philippine AXA Life Insurance (a joint venture with the AXA Group, one of the world’s largest life insurers).

First Metro Investment Corp. said while unit Metropolitan Bank and Trust Co., will continue to account for the majority of GT Capital’s earnings at 45 percent, Toyota Motor Philippines and Global Business Power Corp. will chip in a combined 43 percent of 2013 earnings.

Federal Land and AXA Life Insurance Corp., on the other hand, are seen to contribute nine percent and three percent to total earnings, respectively.

The power unit is expected to chalk up a net income of P2.9 billion, up 25 percent from the year earlier figure mainly due to the full year run of the 164-megawatt Panay Energy and the 246-MW Cebu Energy Development Corp.

GBPC has a 40-percent market share of the country’s largest island grid, Visayas. An expansion of 82 MW for CEDC and 150 MW for Panay Energy Development Corp. will further increase market share to slightly half of the Visayan grid’s 1,500-MW installed capacity.

Toyota and GBPC’s market shares have grown from 33 percent to 36 percent and from 33 percent to 40 percent, respectively.