SPEAK
Speaking to the Regis CEO roundtable series on May 18, Fernando Zobel de Ayala (FZA), Chairman and CEO of Ayala Corporation, revealed that “two of Ayala’s most cyclical companies – Ayala Land and BPI – prepare for a post-pandemic economic recovery. While real estate and banking have been hit by the pandemic, these sectors are also poised for a strong rebound as the rollout of vaccination in the country accelerates and the economy fully reopens. “
As vaccine deployment gains momentum and cities prepare to regain economic footing, Ayala Land is helping drive recovery through continued activity at its properties and by planning areas to become less congested growth centers and more resilient.
In the words of Bernard Vincent O. Dy, President and CEO of ALI, South Coast City, the 26 hectare development of ALI and SM Prime at South Road properties in Cebu will amplify the coastal experience. metropolitan area unique to the queen city of the South. Inside is District Square, a prominent waterfront shopping area that will be the economic core of the estate, and a one-hectare park that will accommodate various activities and connect to the estate’s pedestrian network.
In Pampanga and Tarlac, ALI combines economic energy and a relaxing suburban pace with the Alviera and Crescendo estates envisioned to embody growth outside of Metro Manila. Integrating business, leisure, tourism and education components while respecting the nature and local character of their host provinces, both areas should benefit and contribute to the growing economic potential of central Luzon. The Alviera Country Club is a sports and lifestyle club with areas for recreation, relaxation and special events. Don Bosco Tarlac in Crescendo plans to offer a high school in 2023 and technical and vocational education in 2025.
Moving from response to recovery, Jose Teodoro “TG” Limcaoco, the new President and CEO of BPI, defined five key imperatives that will drive the bank to do more for the people of the Philippines: to make BPI the undisputed leader digital banking services, create a greater share of SMEs and consumers in its loan portfolio, close the financial leadership gap, refocus branches as points of sale and not just as points of service for customers, and promote more a sustainable bank.
Another priority for the new head of BPI is to improve service and the customer experience. He said a banker needs to “step into the customer’s shoes” to improve their customer’s experience, with digitalization being a tool to achieve this goal. “We have to be very focused on the client, on their experience with us, through our digital platforms and our agencies. We will build on the trust of customers through every point of contact they have with us.
Meanwhile, Ayala Corporation finalized the offer of the first tranche of its 30 billion peso debt securities, listing 10 billion pesos in bonds at the Philippine Dealing and Exchange Corporation on May 28. The offer, which has been 10 times oversubscribed, marked the first time Ayala has tapped into the local debt market in four years. It was also the largest five-year allocation among double-tranche offerings during the pandemic, reflecting market confidence in Ayala’s long-term stability and credit strength.
Ayala CFO Alberto M. de Larrazabal and Treasurer Estelito C. Biacora noted that the offer consisted of PPA 4 billion of Series A bonds due 2024 at a coupon rate of 3.0260% and of P6 billion Series B bonds due 2026 at 3.7874%.
FZA said: “The Ayala Group has always been and continues to be an active participant in the capital markets. During the health crisis, Ayala Corp, Ayala Land, BPI, Globe, Manila Water and AC Energy raised over 190 billion pesos in combined revenue in domestic and international capital markets to enable us to take advantage of opportunities and consolidate more our record during these trying times. “
The regulator is very happy. SEC Chairman Emilio Aquino highlighted Ayala’s role in realizing the “potential of the capital market to support the expansion of our economy and bring growth to every Filipinoâ€. Aquino added: “As issuers you create legitimate investment opportunities. And through the capital market, you make it accessible and thus allow other Filipinos to share in your business success. By pursuing your expansion plans in a responsible and sustainable manner, more of our fellow Filipinos can be employed and will be able to secure and secure a better future for their families.
Antonio Nakpil, President and CEO of Philippine Dealing and Exchange Corporation (PDEX), also praised the Ayala Group, led by Ayala Corporation, which Nakpil described as “the oldest supporters, constructive contributors and most active group of participating transmitters. of the national capital market.
Incidentally, the investment banking arm of the Ayala group, BPI Capital, headed by Rhoda Huang, actively participated in fundraising activities within the Ayala group and a particularly important partner in the group’s transition to sustainable financing. In 2020, BPI CAP contributed to the launch of BPI’s CARE bonds and the very successful AREIT, among many historic fundraisers. Now, BPI CAP is ready to help organize the largest IPO ever (40 billion pesos) for food maker World Nissin.
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