Ayala Land takes full control of BPO-owning subsidiary in P3.52-B deal

MANILA, Philippines — Property giant Ayala Land Inc. has taken full control of a subsidiary that owns business process outsourcing (BPO) buildings, thereby boosting its office property portfolio.

In a disclosure to the Philippine Stock Exchange on Tuesday, ALI said it recently entered into an agreement to acquire the 32 percent stake of Global Technologies International Ltd. in ALI Property Partners Co. for P3.52 billion. (APPCo).

APPCo owns BPO buildings in Makati, Quezon City and Laguna, with a total gross leasable area of about 230,000 square meters.

The transaction meant that ALI has bought out its partner in APPCo, thereby raising its stake to 100 percent, ALI chief finance officer Jaime Ysmael said in a text message.

“This acquisition is aligned with ALI’s thrust of expanding its office leasing business and increasing its recurring income,” ALI said in its disclosure.

Given ALI’s growth trajectory, ALI expects to sustain a double-digit growth in both net profits and revenues this year, despite already coming from a very high base. ALI reported last week that it grew its net profit in 2012 by 27 percent to a record-high P9.04 billion, exceeding market expectations.