MANILA, Philippines - Aboitiz Equity Ventures (AEV) will soon include its Cebu-based real estate development affiliate Aboitiz Land Inc. in its portfolio.
The AEV board of directors approved the proposal to acquire 100% ownership of its affiliate AboitizLand for P3.2 billion.
AboitizLand is owned by Aboitiz and Company, Inc., a major shareholder of AEV.
"We are looking at expanding AEV's earning capacity in business sectors that have scale, amid a growing domestic economy and Filipinos' improved earning capacity. AboitizLand is an ongoing business with strong recurring income from its industrial estates as well as from its many existing projects. It also has a backlog of prospective innovative projects," AEV President & CEO Erramon Aboitiz said, in a statement.
AboitizLand is the developer and operator of two economic zones: the Mactan Economic Zone II in Lapu Lapu City and the West Cebu Industrial Park in Balamban, through a subsidiary, Cebu Industrial Park Developers, Inc.
The transaction is expected to be completed within the next 2 months.