Tycoon Andrew Tan-led conglomerate Alliance Global Group (AGI) has earmarked P410 billion for capital spending in the next five years through 2024, mostly to expand its property empire.
“Our five-year capital spending program signals our ongoing thrust to pursue an aggressive but organic growth strategy for our various businesses,” said AGI chief executive officer Kevin Tan in a disclosure to the Philippine Stock Exchange on Monday (July 1).
The planned budget for capital outlays for 2020 to 2024 is higher than the P377-billion allotment for the past five years, inclusive of this year’s budget of P85 billion. It is also significantly bigger than P218 billion set aside in 2010-2014, the time when AGI debuted into the international capital market.
Around 73 percent of AGI’s outlays in the next five years will be allocated for flagship business Megaworld Corp., a leading developer of integrated urban townships. This will fund the company’s new and ongoing township development projects, planned residential launches and continued buildout of offices, lifestyle malls and hotels throughout the country. A portion of the budget will also be allocated for the company to acquire more land to add to its current 4,700 hectares of developable land. (Editor: Tony Bergonia)