Ayala Corp., a publicly traded conglomerate, announced plans to concentrate on transforming current companies, taking a “highly focused approach” to capital management, and pursuing funding activities for potential projects.
“We will completely endorse the continued expansion of our key value drivers Ayala Property, Inc., BPI (Bank of the Philippine Islands), Globe Telecom, Inc., and AC Energy [Corp.] and scale up our emerging businesses in healthcare, education, and logistics,” Fernando Zobel de Ayala, incoming president and CEO of Ayala Corp., said during the virtual stockholders’ meeting on Friday morning.
The Ayala group has set aside P196 billion in combined capital expenditures (capex) for this year, with the aim of achieving “economic revival” by mid-2023.
The majority of the company’s capex in 2021 will be used to finance Ayala Land’s residential launches as well as Globe Telecom’s infrastructure rollout.
Mr. Zobel said, “We are moderately hopeful about the market climate and will continue to brace for a post-pandemic economic recovery.”
Meanwhile, stockholders of Ayala Corp.’s real estate investment trust AREIT, Inc. accepted a P29.5 billion raise in permitted capital stock from P11.74 billion to P29.5 billion.
“The growth in capital stock will provide the business with an ability to purchase property in return for equity which would help us to further expand AREIT,” Elaine Marie F. Alzona, AREIT’s chief financial officer and chief enforcement officer, said during the company’s virtual stockholders’ meeting on Friday afternoon.
Stockholders have approved Ayala Land’s subscription to 483.25 million primary common shares of AREIT in return for P15.46 billion in cash.
Ayala Corp. stock rose 1.28 percent or P9.50 to close at P754.50 per share, while AREIT stock rose 0.15 percent to close at P34.05 per share. Keren Concepcion’s formal name is Keren Concepcion. G. Valmonte’s formal name is G. Valmonte.