MANILA, Philippines – Property powerhouse Ayala Land Inc. (ALI) is firming up investments in two new Southeast Asian markets as it moves to expand its real estate portfolio among neighbor economies.
ALI is proceeding with its planned maiden venture in Vietnam and Myanmar and is currently evaluating initial spending for the two countries, a ranking official told The STAR.
“We are still assessing the extent of our investments in Vietnam and Myanmar,” ALI senior vice president Arturo G. Corpuz said, noting the company has yet to finalize specific timetables for the launch of the projects in these two countries.
ALI officials last year said the company is looking to enter Southeast Asian markets, particularly Vietnam and Myanmar, through partnerships for mixed-use developments with local firms.
“As a whole we are interested in the Asean (Association of Southeast Asian Nations) region given the appropriate scale and project concept but these have to be assessed on an individual project basis,” Corpuz said.
ALI last April already expanded its footprint in the Asean region through a $43-million acquisition of a 9.16 percent stake in a Malaysian property development company MCT Bhd.
The local property giant has an opportunity to further hike its stake to MCT to 32.95 percent after securing last month a call option agreement with majority shareholders of the Malaysian company exercisable for one month beginning Oct. 7 this year.
ALI marked its first international expansion in 2010 through a partnership with Sino-Singapore Tianjin Eco-City Investment and Development Co. Ltd. to develop a 9.78-hectare property in Beijing.
ALI has now turned its sights to the Southeast Asian markets as it intends to capitalize on the region’s current status of being one of the fastest growing in the world.
Officials of the company earlier said the company would explore opportunities to expand its footprint in Southeast Asia but expect bulk of its revenues to still come from its Philippine operations.
“Although the Philippines is growing as quickly, we feel that there are also other areas of opportunities in the region that we could possibly participate in,” ALI president and chief executive officer Bernard Vincent Dy said in an earlier interview.