JAKARTA — Nickel supply from Indonesia is set to surge next year as companies ramp up output of processed metal, according to the head of a local industry group, who said producers have made good progress building smelting capacity after ore shipments were banned.
DAVAO CITY — Government-owned Small Business Corporation (SBC), a merger of the Small Business Guarantee and Finance Corporation and the Guarantee Fund for Small and Medium Enterprises, is looking at cacao producers as possible partners for a planned venture capital in the industry.

MANILA, Philippines – The local equities market needs stronger support from domestic investors, particularly in retail and institutional, to help cushion the impact of sharp swings during volatile times, according to BPI Capital Corp. During the Annual Private Equity & Venture Forum recently, BPI Capital co-head for investment banking Reginaldo Cariaso said the Philippine equity market was still dominated by foreign institutions, making it vulnerable when foreign funds come and go. “The market dries up when foreign funds go,” he said. At present, more than 50 percent of the liquidity in the market comes from foreign investors. “Majority of the liquidity is really foreign driven. It’s more than 50 percent so when foreign fund flows out, it has a big impact on the overall liquidity of the market,” Cariaso said. Cariaso said that while foreign funds were necessary to keep the market healthy, the ideal situation would be for domestic investors to account for a bigger share. Business ( Article MRec ), pagematch: 1, sectionmatch: 1 “What we should strive for is to really have a market that is strongly supported by the domestic market, both retail and institutional. It’s not to say we don’t want the foreign markets to be there in fact we need them but I want the domestic market to grow much bigger and faster than the foreign markets,” he explained. A situation like this would pave the way for a market that is more conducive to investment deals. “It allows deals to be done even Read More …

MANILA, Philippines – Only about two months in office, Bureau of Internal Revenue (BIR) Commissioner Caesar Dulay has gone on leave for medical reasons, but is expected to return to work later this month. This was bared during the House ways and means committee hearing yesterday tackling re-filed tax reform bills. “May I ask where is the commissioner?” Nueva Ecija Rep. Estrellita Suansing told BIR officials present at the hearing. In response, deputy commissioner Nestor Valeroso said: “He is currently on medical leave, but we understand he will return by the end of the month.” “He underwent an operation, but he is already recuperating,” he added. Suansing called the committee’s attention on Dulay’s apparent persistent absence at congressional hearings, which started at last week’s organizational committee meeting. Business ( Article MRec ), pagematch: 1, sectionmatch: 1 Dulay was last present at the briefing of the Development and Budget Coordinating Committee at the Senate two weeks ago. Asked later on what prompted the BIR chief to go on leave, Valeroso first declined to say what he characterized as “personal matter” before he admitted Dulay underwent a hip operation.” Aside from Valeroso, who was appointed officer-in-charge, Dulay was represented by deputy commissioners Jesus Clint Aranas, Celia King and Lanee David in yesterday’s hearing. During the hearing, BIR and its mother agency, the Department of Finance, were asked how they intend to run after self-employed and professionals which only account for 14 percent of total revenues. The figure has consistently gone down from Read More …

The divestment comes four years after Ayala and Ho Chi Minh agreed to jointly invest in Vinaphil, a corporation established under Vietnam law to invest in infrastructure projects in Vietnam. MANILA, Philippines – Ayala Corp., the country’s oldest conglomerate, has approved the divestment of its 100 percent interest in Vinaphil Technical Infrastructure Investment JSC. The company said its board of directors approved the sale of its entire stake in Vinaphil to Ho Chi Minh City Infrastructure Investment JSC. The divestment comes four years after Ayala and Ho Chi Minh agreed to jointly invest in Vinaphil, a corporation established under Vietnam law to invest in infrastructure projects in Vietnam. No immediate reason was given for the divestment. During yesterday’s meeting, Ayala’s board also approved the creation of a new subsidiary, HCX Technology Partners Inc., for the acquisition of the human resource outsourcing assets from HR Mall Inc. HR Mall provides strategic value for the Ayala Group’s HR requirements. Business ( Article MRec ), pagematch: 1, sectionmatch: 1 The board likewise ratified the appointment of former Cabinet Secretary Jose Rene Almendras as president and CEO of AC Infrastructure Holdings Corp. and managing director of Ayala Corp. Almendras replaced John Eric Francia who continues to serve as president and CEO of AC Energy Holdings Inc. and a member of Ayala’s management committee. He served as Energy secretary and Secretary to the Cabinet of the Aquino administration. Francia’s appointment as full-time CEO of the company’s energy unit was in line with the group’s efforts Read More …

MANILA, Philippines – The Securities and Exchange Commission (SEC) has directed Vega Telecom Inc. to postpone its tender offer for shares of Liberty Telecom Holdings Inc. until the required additional information are submitted. The SEC asked Vega to defer the conclusion of its tender offer period, originally set on Sept. 21, and submit a new timeline for the offering which should not recommence not later than Oct. 17. “The new offer period should provide reasonable time to the tendering shareholders to evaluate or assess the amended and/or additional information,” said Graciano Felizmenio, director of the SEC’s Markets and Securities Regulation Department. The SEC directive came in the heels of the letter complaint filed by Liberty minority shareholders with respect to the valuation of shares. “The common concern is the belated disclosure of the assignment of frequencies resulting in the confusion in the proper valuation of Liberty’s shares,” the SEC said. According to the SEC, Vega failed to include or discuss necessary information in the tender offer report. Business ( Article MRec ), pagematch: 1, sectionmatch: 1 It then asked Vega to make a detailed disclosure of the circumstances surrounding the assignment of the said frequencies. The SEC also asked for a breakdown of the purchase price paid by PLDT and Globe to San Miguel Corp. as per agreement, consisting of the payment as actual purchase price for the shares, payment for outstanding advances and payment in assumed liabilities. The additional information is critical for shareholders to arrive at an informed Read More …

MANILA, Philippines – The Energy Regulatory Commission (ERC) has cleared the construction of a critical substation which would connect incoming power plants in Quezon province with a total capacity of 2,720 megawatts (MW) to the Luzon grid. The power regulator approved the petition of the National Grid Corp. of the Philippines (NGCP) to construct the Pagbilao EHV Substation aimed to address the overloading of the Tayabas 500/230 kv transformers and the fault level issue at Tayabas 230 kv Substation. Estimated to cost P3.6 billion, the facility will connect four incoming new capacities to the Luzon grid, namely the 420-MW Pagbilao Coal-Fired Power Plant (CFPP) expansion, the 500-MW San Buenaventura Power Ltd. Co. (SBPL), the 3×200-MW Energy World Liquefied Natural Gas (LNG) Power Plant and the 1,200-MW Atimonan Coal-Fired Power Plant. ERC chairman and CEO Jose Vicente Salazar said the Pagbilao EHV Substation will be beneficial in terms of ensuring the quality, reliability and integrity of the Luzon Grid. “The approval of the NGCP’s Pagbilao EHV Substation will enable it to adequately serve the needs and demands of generation companies, distribution utilities and suppliers requiring transmission service and ancillary services through the transmission system,” he said. The ERC said the project shall be subject to optimization based on its actual need and/or implementation under the performance based rate (PBR) system to determine the extent of the value that will be included in the rate base of NGCP. Business ( Article MRec ), pagematch: 1, sectionmatch: 1 The power regulator also directed Read More …

MANILA, Philippines – Puregold Price Club Inc. of retail tycoon Lucio Co is stepping up its expansion in Mindanao as it turns more optimistic on business prospects under the present administration. Puregold vice president for operations Antonio de los Santos said the company intends to accelerate store expansion in President Duterte’s home region given the expected investment boom and improving peace and order situation there. “We plan to expand more our footprint in Mindanao. At present the areas where we are form only a small part of Mindanao,” De los Santos said in an interview during Puregold’s KAINdustriya Convention yesterday. Of Puregold’s 266 stores nationwide, only eight are in Mindanao. These are located in Tagum, Lanang, Digos, Bukidnon, Cagayan De Oro, Butuan and Cotabato. “We opened our second store in Cotabato, that’s in Maguindanao, last week. That’s our second in Cotabato so that means business is good in the area. We are the only big retailer in that area,” De los Santos said. “So we want more stores in Mindanao. But what we’re looking at is not the number but the areas. What we’re looking for are right locations,” he added. Business ( Article MRec ), pagematch: 1, sectionmatch: 1 De los Santos said potential areas for expansion in Mindanao are Iligan, Pagadian, Dipolog and Ozamis. He said these are the areas which the company sees “are ripe for a Puregold store” at present. According to De los Santos, the current administration’s commitment to improve the peace and order situation Read More …

(Conclusion) MANILA, Philippines – In fact, just last May, a watershed event in the energy world happened quite inauspiciously in Dubai when, at an open tender of DEWA (Dubai Electricity and Water Authority) for 800 MW of solar capacity, the winning bid came in at $0.03/kwh. The bidding results were so close the next best bidders came in at $0.0369, $0.0396, $0.0444, and $0.0448. These results surpassed a previous 200 MW solar PV award of DEWA just 18 months earlier of $0.0565, and even that of their coal-fired plant bidding in Oct 2015 of $0.0451. Solar PV, with the right conditions, is already beating coal-fired power in some parts of the world. In other Middle East countries like Oman, solar energy is already used to pump up oil from their fields, replacing natural gas. A new energy paradigm is unfolding fast because consumers are responding to the needs of the planet and technology is riding huge cost and experience curves that are rapidly improving their economics. The Philippines has a golden opportunity to leapfrog into this new paradigm and build an energy infrastructure that’s future-ready. To do this it’s critical we craft a credible glide path that keeps power reliable, available, and affordable. How do we do this? Let’s first take stock of where we are. The EPIRA and the privatization of our power industry effectively ended the era of subsidized power in the Philippines. What this means is that our power costs look high relative to other countries that Read More …

BUTUAN CITY, Philippines – President Duterte has appointed former Butuan City representative Charito Booc Plaza as the new director general of Philippine Economic Zone Authority (PEZA). Plaza is one of the authors of the Special Economic Zones Law that created PEZA. She is also the principal author of Republic Act 7901 that created the Caraga Region. Plaza thanked President Duterte for giving her the opportunity to serve as PEZA chief. “I am fortunate to be one of the authors of the law that finally created PEZA, which included areas of Butuan City and Agusan del Norte as among those identified special economic zones. I proposed to the president in our talk last Sunday in Davao City to make eco zones as the umbrella program for economic development. We will build agricultural economic zones, industrial eco zones, tourism economic zones and defense industrial complex,” she said in a text message to The STAR. “The ecozones will be a big break for our Caraga region and Mindanao as the president will revive the BIMP-EAGA partnerships with Brunei, Indonesia, Malaysia, Philippines as the East Asia growth areas. Our people, the poor, the indigenous peoples, the unemployed and the underemployed will be the final beneficiaries of this,” she added. When she was a lawmaker, Plaza also served as chair of the tourism committee and public information committee, and as vice chair of the national defense committee of the House of Representatives. Business ( Article MRec ), pagematch: 1, sectionmatch: 1 After her term, Plaza Read More …