Megaworld earmarks P60B for 2017 capex
February 8, 2017
Property developer Megaworld Corp. and its subsidiaries allotted P60 billion in capital expenditures (capex) to build new condominiums, office towers and buy more land this year.
In a disclosure to the Philippine Stock Exchange on Wednesday, the Andrew Tan-led property developer noted that 80 percent of capital spending will be used to construct new residential condominiums, office towers, commercial centers and hotels.
The remaining 20 percent will be used to acquire land and invest in other properties.
“Since our company’s cash position remains healthy, we will mostly utilize internally-generated funds to finance our capital spending for the year, and we will also tap the debt market through the proceeds of the first tranche of our P30-billion retail bond program,” Megaworld Treasurer Francis Canuto said.
“While we expand our existing residential properties and introduce more residential products in our townships this year, we continue to focus on our goal towards doubling our rental revenues by 2020. The country’s sound business climate allows us to further grow our office and commercial leasing businesses towards a strong and stable recurring income base,” Canuto added.
Megaworld owns 100 percent of Suntrust Properties Inc., 82 percent of Global Estates Resorts Inc. and 82 percent of Empire East Holdings Inc. — Ted Cordero/VDS, GMA News