PH’s Roxas & Co to invest $39.7m for 5 new GoHotels around Metro Manila

RCI plans to invest P1.7b ($39.7m) for the construction of 5 new GoHotels around Metro Manila during next 2 years

Roxas & Company Inc (RCI), a listed holding firm in the Philippines, intends to spend P1.7 billion ($39.7 million) in the next two years for the construction of new hotels around Metro Manila.

Pedro Roxas, chairman, president and CEO of RCI, said the Roxas Group will be spending about P350 million ($7.93 million), each for five GoHotels — the budget hotel chain of the Gokongwei family — majority of which are slated for completion by the first quarter of 2016.

The local hotel chain, currently, has five branches located at Bacolod, Mandaluyong, Ortigas Center, Dumaguete, and Iloilo.

He said the Roxas Group is beefing up its real estate portfolio to balance the group’s revenue stream.

Also Read: Thai hotelier to launch Dusit D2 brand in Myanmar

RCI is the holding company of the Roxas Group. Its main holdings are sugar-related assets and businesses under listed Roxas Holdings Inc (RHI). The real estate development activities happen through its property arm, Roxaco Land Corporation.

“Right now, sugar accounts for about 70 per cent of RCI’s income while 30 per cent comes from real estate. However, we hope to have a more balanced revenue stream in the next two years as we focus more on hotels, mixed-use establishments and other projects in and outside of Metro Manila through our real estate subsidiary, Roxaco Land Corporation,” Roxas said.

According to Roxaco executive vice president Santiago R Elizalde, the 900-room, five-hotel project is under Roxaco-Vanguard Hotels Corporation, a joint venture between Roxaco and the Singapore-based Vanguard Hotels Corporation.

The five GoHotels will be located along Quirino Avenue in Parañaque City near the Ninoy Aquino International Airport; North Edsa, Timog Circle and Cubao in Quezon City; and in Malate, Manila.

“We will be expanding our partnerships as we build more hotels,” Elizalde said, noting that the first of the five new GoHotels will be functional at the Parañaque City, by June this year.

Aside from Metro Manila, the group is also considering the market for mixed-use establishments in Cebu, Bacolod and Davao.”We want to replicate our concept for Anya Resort & Residences in Tagaytay City so we are looking at joint ventures for a couple of sites outside Manila,” he said.

RCI vice president & chief finance officer Armando B Escobar said the company hopes to raise about P2 billion ($45.4 million) in the next 12 months through issuance of shares.

RCI’s traded price has been at P2.84 since February 10.

Related Stories:

PH firm ABCI sells its chalet, hotel business to Angelus Agri

GIC puts Westin Sydney for sale

IPC Corp sells 2 Japan hotels for $29.6m

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.

Singapore Reporter/s

In Singapore, we are looking to double our reporting team by this year-end to comprehensively cover the fast-moving world of funded startups and VC, PE & M&A deals. We want reporters who can tell our readers what is really happening in these sectors and why it matters to markets, companies and consumers. The ability to write precisely and urgently is crucial for these roles. Ideal candidates must have to ability to work in a collaborative, dynamic, and fast-changing environment. We want our new hires to be digitally savvy and ready to experiment with new forms of storytelling. Most importantly, we are looking for hard-hitting reporters who work well in a team. Collaboration and collegiality are a must.

Following vacancies can be applied for (only in Singapore).

Following vacancies can be applied for (only in Singapore).   

  • A reporter to track companies/startups that have raised private capital, and have the potential to become unicorns. SEA currently has over 40 companies with a valuation of over $100 million and under $1 billion.
  • A reporter who can get behind the scenes and reveal how funding rounds are put together, or why they’ve failed to materialise. She/he in this role will largely focus on long-format stories. 
  • A journalist to track special situations funds, distressed debt and private credit (from the PE angle) across Asia.