MANILA, Philippines - Conglomerate DMCI Holdings Inc. aims to grow its net profit by 20% this year and is planning additional borrowing to partly fund the $450-million expansion of its coal-fired power plant, its president said on Wednesday.
The $2.9 billion company, with interests in infrastructure, water utility, real estate and coal mining, may tap peso-denominated loans to finance the capacity upgrade of its 600-MW Calaca power plant, Isidro Consunji told reporters after the company's stockholders' meeting.
He said the expansion project would start early next year and may be completed in three years. Another 300 MW capacity could be added to the Calaca facility, located in Batangas province south of the capital, depending on power demand, he said.
"We are negotiating now with Chinese equipment suppliers for the power plant and we are looking for funding," Consunji said, adding that half of the project cost would be funded by loans.
DMCI is targeting net profit of between P9 billion and P10 billion this year, 14% to 27% higher from P7.9 billion last year.
Shares in DMCI rose 0.6% on Wednesday and was hovering around two-month highs as the broader market index edged up 0.4%.
The stock has risen about 27% this year, outperforming the main index's 6% rise.