Aboitiz Land Teams up for Bulacan

MANILA – Aboitiz Equity Ventures Inc (AEV) is teaming up with another company for its bid for the P24.40 billion Bulacan Water Supply Project.

AEV chief financial officer Stephen Paradies on Wednesday told reporters that the conglomerate was one of the 15 companies that bought the bid documents for the water supply project.

"We'd like to do it with somebody else that knows water preferably," Paradies said, noting that its partner may "probably" be a local firm.

When asked if AEV may tie up with Ayala-led Manila Water Co Inc, he said, "They are on their own." FILPRIMEHOMES

The Aboitiz group has partnered with the Ayalas in bidding for some of the government's infrastructure projects under the Public-Private Partnership (PPP) scheme. They submitted the highest bid for the P34.5 billion Cavite-Laguna Expressway Project with an offer of P11.65 billion.

However, AEV is still evaluating the Bulacan water project and has yet to decide if the conglomerate will bid for it, Paradies said.

Last June, AEV and partner J. V. Angeles Construction Corp (JVACC) were awarded the contract to put up a bulk water supply project in Davao. JVACC is a local firm with 48 years of experience in the construction and development of water-related infrastructure.

The Bulacan Bulk Water Project involves the design, financing, construction, development, operation and maintenance of facilities for bulk supply of treated water to 22 Bulacan water districts. It will be executed under a 30-year build-operate-transfer (BOT) contract with government.

Interested parties have until September 19 to submit the prequalification documents.

AEV owns Aboitiz Power Corp, Union Bank of the Philippines, AboitizLand Inc and Pilmico Foods Corp. AEV is pouring in P88 billion for its capital expenditures this year, higher than the budgeted capex of P59 billion in 2013.

Bulk of the capital spending or P78 billion will be allocated for the power business. The conglomerate's consolidated net income shed a fifth year-on-year to P9.5 billion in the first half, dragged by its power and banking businesses.

Source: Interaksyon