ALLIANCE Global Group, Inc. (AGI), the holding firm of tycoon Andrew L. Tan, is diversifying into infrastructure as the current administration enters into what it calls as the ‘Golden Age of Infrastructure’ in the country.
The 24-year old conglomerate has created INFRACORP Development, Inc., a new company that will handle infrastructure projects, particularly to participate in the government’s Private-Public Partnership (PPP) projects.
INFRACORP has submitted this week an unsolicited proposal to the government to build a 2-km monorail project called Skytrain that will link Fort Bonifacio to the MRT Guadalupe Station, which hopes to benefit around 60,000 to 100,000 passengers daily.
The project, which will utilize the automated cable-propelled monorail technology, will reduce travel time from Fort to MRT Guadalupe to only five minutes. Under the proposal, a station will be built in Guadalupe, Makati near the MRT station and another in Uptown Bonifacio, a township development of AGI’s real estate arm Megaworld, at no cost to the government.
“Given the country’s strong and stable economy, we see a huge opportunity to invest in infrastructure. We are excited to participate and optimistic about the government’s aggressive push for infrastructure developments,” says Kevin L. Tan, executive director of AGI and also appointed president of INFRACORP.
Once approved, the Skytrain monorail project will take three years to construct and it could be interconnected with the subway system project passing through Fort Bonifacio that the government is set to build.
“Funding of the project will be internally-generated as part of AGI’s existing CAPEX program. We cannot disclose the exact amount of the investment yet until the government gives us the go-signal to proceed. We will follow the rightful process of this exercise,” explains Tan.
INFRACORP is also looking into other potential infrastructure projects, particularly on transport solutions, in several business districts around Metro Manila and in key growth areas around the country.