Conglomerate LT Group Inc. said Wednesday its board approved the appointment of Lucio Tan III, the grandson of beer and tobacco tycoon Lucio Tan, as new vice chairman and chief operating officer.
LT Group said in a statement the board during an organizational meeting unanimously approved the succession plan involving the appointment of Michael Tan and Tan III as president and COO respectively, with the latter will assuming the position of president and COO no later than April 20, 2023.
The conglomerate said Michael Tan, who has been the president and COO of the conglomerate since 2010, will continue to serve in his capacity as president during a transition period, while sharing the decision-making for business and operational matters with Lucio III.
“I am very grateful for the trust and confidence of the chairman and the board of directors. I am fortunate to be working with the best minds in business, who have helped create a leadership succession plan that will ensure stability and business continuity for the LT Group,” said Lucio III.
The 29-year old Tan, the son of the late Lucio “Bong” Tan, Jr., already assumed various leadership roles within the conglomerate and its subsidiaries since he settled in the Philippines in 2019.
Tan III was also elected as vice-president of PAL Holdings Inc. in 2021.
Meanwhile, LT Group said will increase its 2022 capital expenditures to P12 billion from P9 billion last year as it expects a better year for the overall business with the reopening of the economy. Jenniffer B. Austria
This year’s capital expenditures will be mainly spent on the construction of projects of property firm Eton Properties Philippines Inc. and information technology spending of banking arm Philippine National Bank.
“The opening of the economy means that purchasing power of consumers will improve which bodes well for our businesses, as demand should recover,” Michael Tan said during the annual stockholders meeting.
He said that for 2022, demand for cigarettes, liquor and beverage products is expected to increase while the group’s property firm is expected to register higher occupancy rates and secure more tenants for office and commercial projects.
