AGI growth plan tops P59B

Alliance Global Group Inc. (AGI), the holding firm led by businessman Andrew Tan, is banking on its diversified portfolio to sustain growth amid economic headwinds, as it earmarks P59 billion in capital spending this year to support expansion across its key businesses.

“In the face of current macroeconomic challenges, including shifts in consumer behavior, AGI sustains its growth by optimizing revenue, preserving its margins, and focusing on customer value,” AGI chief executive officer and president Kevin L. Tan said at the company’s annual stockholders’ meeting.

“We believe there exists a lot of opportunities here and across the globe where our business can grow, especially in the areas of consumer, real estate, leisure, and tourism spaces where we have built-in competitive advantages,” he added.

Capex bulk goes to Megaworld

Of the P59-billion capex, P50 billion will go to Megaworld Corp., its real estate arm, for township developments and the expansion of office, retail and hotel assets.

Megaworld plans to launch at least two new townships this year, bringing its total to 37.

Ongoing projects include over 139,000 square meters of office space and more than 151,000 square meters of lifestyle malls across Boracay, Bacolod, Pampanga, Cavite, Rizal and Metro Manila.

It also plans to add nearly 3,600 new hotel rooms and new MICE (meetings, incentives, conferences, exhibitions) venues.

Travellers International Hotel Group, AGI’s leisure unit, will spend P5 billion to develop The Narra Palm Hotel and Villa at Newport World Resorts. The project will feature 157 luxury suites and villas with private gaming areas for VIP guests.

Travellers is also developing integrated resort projects in Boracay Newcoast, The Mactan Newtown in Cebu, and Westside City in Parañaque.

Emperador’s international whisky production

The remaining P4 billion will fund Emperador Inc.’s international expansion, particularly whisky production under Whyteand Mackay. The investment will double the capacity of The Dalmore Distillery and expand the maturation complex at Invergordon Distillery to accommodate an additional 1.5 million casks while incorporating more eco-efficient practices.

In its spirits business, AGI “prides itself on a wide array of brandy and whiskey products at various price points — from accessible, standard to premium, super-premium, and its luxury, rare, and aged brands.” These are now available in over 100 markets globally.

Tan added that the group “has cautiously adopted cost management initiatives to ensure operational efficiencies,” supported by modern manufacturing and a streamlined supply chain.

AGI is also investing in product innovation, digitalization, and targeted marketing to stay relevant in evolving consumer markets.