GT Capital Holdings, Inc. is looking to invest as much as $200 million (P11.5 billion) this year as it expands its portfolio in underpenetrated segments, a high-ranking official said.
“We are in investment mode,” GT Capital Senior Vice-President and Chief Financial Officer George S. Uy-Tioco, Jr. told reporters on the sidelines of a recent investor conference in Taguig City. “We are in the process of looking for sectors and businesses that we can invest in to expand our portfolio.”
He said the company might invest $100 million to $200 million to fund projects and other expansion plans.
“Our priority would be to take a look at managing our capex (capital expenditure) requirements as well as any capital required by our affiliates,” he added.
Mr. Uy-Tioco said the company has not zeroed in on a specific investment, but it is looking at potential opportunities particularly in underpenetrated areas.
“There are active discussions in terms of potential opportunities and we just have to sift through all of them and decide which ones make sense,” he said.
The company said it is most likely to invest in affiliated or associated businesses to give the company leverage in these industries.
GT Capital is a listed holding company with interests in banking, property development, infrastructure and utilities, automotive assembly, importation, wholesaling, dealership and financing, and life and nonlife insurance.
“Probably brownfield or acquisition is more appropriate, but I would not rule out anything at this point,” Mr. Uy-Tioco said. “We may even consider greenfield.”
The company is also looking at partnerships for its investments, he added.
While GT Capital is interested in emerging industries, Mr. Uy-Tioco said the company would stay away from gambling businesses.
The company had a plan to diversify its business and go into healthcare, renewable energy, education and data centers.
The company is still considering these sectors, Mr. Uy-Tioco said, adding that GT Capital considers these segments as fragmented with good margin and growing demand.
GT Capital has a stake in Pangilinan-led Metro Pacific Investments Corp. (MPIC). MPIC is one of the three key Philippine units of Hong Kong-based First Pacific Co. Ltd., the others being Philex Mining Corp. and PLDT Inc.
Hastings Holdings, Inc., a unit of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc., has a majority share in BusinessWorld through the Philippine Star Group, which it controls. — A.E.O. Jose
