The Aboitiz Group earmarked P153 billion for 2024 capital expenditures, or more than double the amount it spent in 2023.
It said in a statement majority of the budget would go towards the group’s renewable energy (RE) projects, reflecting the company’s commitment to developing cleaner and more sustainable energy sources for the country.
“Our substantial increase in capital expenditures is a clear reflection of our commitment to renewable energy. We believe that investing in sustainable energy sources is not just good for the environment, but also makes good business sense. As a techglomerate, we intend to redefine the meaning of industry and community in the digital age,” said Aboitiz Group president and chief executive Sabin Aboitiz.
Aboitiz Power Corp., the group’s power subsidiary, will receive the largest share at P73 billion, representing 48 percent of the total capex. The substantial increase supports the company’s ongoing and upcoming RE projects, with a target of reaching 4,600 megawatts (MW) of capacity within the next decade.
The holding company will receive P44 billion, with P40 billion earmarked for the acquisition of Coca-Cola Beverages Philippines Inc. (CCBPI), a significant step in the group’s diversification efforts.
Aboitiz InfraCapital (AIC) will get P25 billion to strengthen its existing infrastructure portfolio across various sectors, including economic estates, water, airports and digital infrastructure.
Union Bank of the Philippines, its lending arm, is poised to complete the integration of Citibank’s consumer banking business by the end of March 2024. Investments in technology refresh, cybersecurity and system integration comprise the majority of UnionBank’s capex this year.
Pilmico, the Aboitiz Group’s food and agribusiness arm, would get nearly P4 billion for its ongoing expansion projects. These include the construction of new feed mills in China and Vietnam and the further development of its The Good Meat stores across the Philippines.