Davao businessman Dennis A. Uy said he is looking for “strategic partners” for Udenna Corp.’s capital-intensive businesses, such as its shipping and petroleum trading firms.
Uy’s holding firm Udenna said it is inviting investors to invest in its listed firms Chelsea Logistics and Infrastructure Holdings Corp. and Phoenix Petroleum Philippines Inc.
“We are looking for partners who can help us further expand our businesses and promote our brands. We have clearly spelled out our growth strategy which does not simply include selling assets. Like all visionary entrepreneurs, we want to go beyond the buy-and-sell mentality and move towards a more sustainable business that protects and supports the thousands of families that depend on us,” he said in a statement.
Chelsea reported a 37-percent increase in revenues to P2.91 billion in the first half from last year’s P2.13 billion.
Revenues from freight business improved by 57 percent to P1.59 billion, while the passenger segment saw its topline figures surge by 297 percent to P516.53 million for the period following the easing of mobility restrictions.
The company, however, still booked a net loss of P1 billion, or the same level as last year.
Phoenix returned to profitability in the second quarter with a net income of P200.56 million from last year’s P131.38 million, a 52-percent increase.
For the first half, the company still booked a loss of P120.8 million narrower than last’s year’s loss of P251.21 million.
Revenues for the first half, meanwhile, grew 11 percent to P76.18 billion from last year’s P68.52 billion.
The company said it is reaping the benefits of its long-standing commitment in streamlining operations and maximizing efficiency across the business as operating expenses was lower by 10 percent quarter-on-quarter.
“Phoenix has continued to advance resource management initiatives and operational improvements. The company is likewise developing a new supply model to navigate through the persistent volatility in the markets and foreign exchange,” it said.
Udenna said it is also upbeat about its telecom foray. A positive bottom line is anticipated to materialize for Dito Telecommunity Corp. by 2026 or 2027, the company said.
Dito CME Holdings Corp., the listed telco, said the company remains on track despite the pandemic.
Dito CME has a 53-percent stake in Dito Telecom.
Uy said assuming there is no event risk, the telecom venture’s EBITDA, or earnings before interest, taxes, depreciation and amortization, is also on track to be positive as early as the end of 2024.
“Dito Telecom is also bullish, it will soon finish negotiations with a consortium of lenders headed by Bank of China for a $4.1-billion long-term loan to finance the expansion of its network, which must cover 84 percent of the population by 2024,” the company said.