Consunjis allots record capex budget P40B for this year
The flagship firm of Bilyonaryo David Consunji is set to spend a record P40 billion for its capital expenditures this year to support the growth in its real estate and power generation businesses.
DMCI Holdings Inc. chairman and president Isidro Consunji said the company has earmarked P40 billion for its capital spending this year compared with P19.3 billion last year.
“This is our biggest annual capital expenditures program to date. There is still considerable room for growth in the property market and power industry so we are focusing our resources on these areas,” Consunji said.
The biggest chunk or P32.5 billion of the record budget would go to real estate subsidiary DMCI Homes. Of this amount, P27.5 billion pertains to total development cost of new projects while the remaining P5 billion will fund land acquisitions.
Big projects of DMCI Homes for this year is a high end condominium located in Asia World, Paranaque, which will be the company’s first luxury residential development. It will also begin developing its first mixed-use building in Makati.
Likewise, plans are also underway for the mid-segment developer to expand outside Metro Manila and enter the low-cost housing market.
The DMCI Group has also allocated P7.2 billion for its energy projects under Semirara Mining and Power Corporation (SMPC) and DMCI Power Corp.
On the other hand, DM Consunji Inc. (DMCI) and DMCI Mining Corp. are setting aside around P700 million for the acquisition of additional equipment and machineries to support their operations.