COSCO Capital Inc. is injecting P7.2 billion in capital for spending this year, mainly for the expansion of its supermarket, liquefied petroleum gas, and real estate units.
On the sidelines of the stockholders’ meeting, Leonardo Dayao, the firm’s president, said its LPG business, Liquigaz, will get the lion’s share of P3.25 billion to expand facilities and keep its positions as the second largest LPG retailer in the country.
Dayao noted that the new jetty and storage tanks will be put up in Sariaya, Quezon in order to serve better southern Luzon consumers, saying it takes more time and money to transport LPG from Bataan.
“The Sariaya jetty and rehabilitated storage tank will be operational within the year while the new storage tank will be completed by 2017,” he said.
Meanwhile, John Marson Hao, Puregold’s vice president, said the supermarket unit will spend P1 billion to build 25 stores, P1 billion for two S&R Memberships stores, P150 million for 10 S&R quick-service restaurants, and P450 million for 75 Lawson convenience stores.
Hao noted the new S&R branches in the cities of Iloilo and Cagayan de Oro will open within the year.
“S&R is planning to open two stores a year with the aim of having 20 stores by 2020 from the [present]10,” he said.
Dayao, on the other hand, said they will be opening more S&R branches both in Metro Manila and the provinces, as Greater Metro Manila remains underserved. S&R is now looking at new locations with “with sizeable upscale consumers.”
Cosco’s real estate business, will get P1.1 billion for new Cosco malls, while P200 million will be for the rehabilitation and expansion of recently-acquired malls.