MANILA, Philippines - Listed Filinvest Development Corp. (FDC) has allocated more than P33 billion for its capital expenditures next year to bankroll property development, hotel as well as power projects and at the same time fund the expansion of its banking business.
Sharon Pagaling-Refuerzo, corporate information officer of FDC, informed the Philippine Stock Exchange (PSE) that the amount was significantly higher than the P20 billion stated by Filinvest Land Inc. director Joseph Yap in an interview with reporters.
She said that FDC is raising at least P10 billion through the sale of 10-year fixed rate bonds in the first quarter of next year to fund its capital expenditures as well as working capital requirements.
“The FDC projects are to be partially financed by the P10 billion 10-year fixed-rate bond issue scheduled for the first quarter of 2014,†she told the Exchange.
Of the total budget for next year, Pagaling-Refuerzon said FLI would spend about P20 billion on various residential projects, land banking activities, and the expansion of the retail and shopping mall business.
FLI successfully raised P7 billion through the issuance of bonds last November.
“These are to be partially funded by the successful P7 billion bond issue in November,†she added.
The Filinvest Group has also earmarked P6 billion to fund major power projects being undertaken by FDC Utilities Inc, she added.
Likewise, the Gotianun-led conglomerate also allocated P2 billion for various hotel projects.
The company’s information officer said the remaining P5 billion would be used for the projects of Filinvest Alabang Inc. as well as the expansion projects of banking arm East West Bank.
The Filinvest – CAI Consortium emerged as the second highest bidder for the P17.5 billion Mactan Cebu International Airport expansion project being undertaken by the Department of Transportation and Communications (DOTC).
The P13.99 billion financial bid submitted by the Filinvest – CAI Consortium was slightly lower than the P14.04 billion offer made by the group led by Filipino-owned Megawide Construction Corp. and Bangalore-based GMR Infrastructure.