Biz Buzz: The new Midas
No, not that Midas.
We’re talking about tycoon Ricky Razon who has recently emerged as “the new Midas” creating—with his golden touch—excitement in stocks believed to be his prospective backdoor listing vehicles.
Stock pundits correctly guessed that dormant AAI would be the backdoor ticket to list Razon’s gaming interest, but overestimated how much the tycoon was willing to pay for AAI’s shares. So those stuck in AAI can only either take a haircut or wait out for the eventual infusion of Bloomberry’s casino business into this shell company.
But the Razon play hasn’t stopped with the tycoon’s takeover of AAI (which by the way denied knowledge of the deal a week before it was closed—when everyone in the market already seemed to know about it). Last week, another company on Razon’s radar screen rose sharply one day only to slip back the next day.
After Bloomberry, Razon is believed to be looking for another shell company for his Monte Oro Resources & Energy Inc., which has a 30-percent interest (the remaining 70 percent of which is held by Philex Petroleum’s UK-incorporated unit Forum Energy Plc.) in Recto Bank’s service contract 72—something the Philex group hopes will be the “next Malampaya” natural gas field.
So expect some stocks to remain in play based on this theory. There were four under consideration, one of which was nearly “it” (but the talks flopped, according to the grapevine).
When attempting to ride on speculative play, though, remember the lessons of the AAI experience.—Doris C. Dumlao
24-hour shopping
Integrated tourism estate Resorts World Manila—literally a “game changer” in this country—may not have the largest shopping mall, but it will be the first to introduce 24-hour shopping in the Philippines.
Three months ago, the complex pioneered 24-hour cinemas on weekends and the goal is to likewise offer round-the-clock shopping on weekends.
Its shopping mall complex now closes at midnight, but it will soon close by 1 a.m. Eventually, it will stay open, at least on weekends.
Unlike other shopping malls, Resorts World has a big 24/7 casino in its midst. Travellers International, the developer of Resorts World Manila, sees a big market for this never-ending shopping: retirees looking for entertainment until the wee hours, call center staff looking to buy things after their office hours early in the morning, tourists and casino players.
“It’s a case of ‘build it and they shall come,’” says Travellers president Kingson Sian.
Resorts World’s 1,500-seater live performing arts—where “The Sound of Music” is now running (while “Kaos” played before that)—will also be converted into cinemas for blockbuster movies like the latest edition of Mission: Impossible (in theaters by December 21). The cinema will offer “the best” 3D projector and 3D glasses (that are battery-operated) to enhance viewers’ experience.
This multiawarded tourism estate, which opened in 2009, is now hitting foot traffic levels of 30,000 on peak days and 18,000-20,000 on average days. Next year, the flock is seen to grow up to 40,000 a day.—Doris C. Dumlao
Globe’s drive
Globe may be second-best in the telecommunications industry (“for now,” its people insist), but it is a formidable force when it comes to golf.
Its team was crowned overall champion in the recently concluded golf tournament of the Ayala group of companies—the prestigious JZA Golf Cup—besting runners up Ayala Land and BPI. Globe’s chief, Ernest Cu, was also named Best CEO Player of the tournament.
This is not to say that the companies’ officers are spending most of their time on the golf course, as they have recently unveiled a new program aimed at boosting Globe’s network (having recently won a new lease on life, courtesy of the National Telecommunications Commission’s decision to strip its merged PLDT-Digitel rival of a key 3G frequency).
Is Globe’s success on the golf course a portent of things to come for the revitalized telco?
It could very well be, as the industry is now abuzz about Globe’s upcoming move into the LTE [Long Term Evolution] sphere, or the so-called “4G” networks.
And which conglomerate holds the most licenses for LTE frequencies? None other than San Miguel Corp., which owns frequency bands on either end of the spectrum.
Watch this space, folks.—Daxim L. Lucas
Get business alerts and a preview of Biz Buzz the evening before it comes out. Text ON INQ BUSINESS to 4467 (P2.50/alert).
