Lopez firm allots P60 billion of capex to energy

First Gen Corps pulls down net income of umbrella group in 2017

First Philippine Holdings Corporation (FPH), led by the Lopez group, has allocated nearly Php 80 billion for its capital expenditures (capex) this year, with 75% of the funds designated for its energy division.

According to a report from Business World, FPH Executive Vice President, Treasurer, and Chief Finance Officer, Emmanuel Antonio P. Singson revealed that approximately Php 60 billion of the company’s capital expenditures (capex) will be allocated to First Gen Corporation. 

Singson further added that FPH aims to finance its planned expenditures through a mix of debt financing and internally generated funds.

FPH president and chief operating officer, Francis Giles Puno also mentioned that First Balfour Inc.’s projects for this year will encompass infrastructure railways, and there are also plans to potentially be involved in subway projects, water treatment facilities, and power plants.

Earlier, Fresh River Lakes Corporation (FRLC), a subsidiary of First Gen Corporation, has been granted the “notice of award” following its winning bid for the 165-megawatt (MW) Casecnan Hydroelectric Power Plant (CHEPP). 

Pending approval from the Philippine Competition Commission (PCC), the acquisition of Casecnan is expected to positively impact First Gen’s earnings starting next year.

Meanwhile, FPH said that Php 17 billion is dedicated to its real estate businesses, including Rockwell Land Corporation and First Philippine Industrial Park (FPIP), while the remaining funds will be invested in its manufacturing units like ThermaPrime Drilling Corporation and First Balfour, Inc.