Posted on
June 24, 2013 10:32:43 PM [ BusinessWorld Online ]
LISTED
conglomerate Metro Pacific Investments Corp. (MPIC) is adding to the list of
medical centers under its wing, saying in a press release yesterday that it has
taken “another step forward in building its nationwide chain of premier private
hospitals.”
Metro Pacific
Investments Corp. has been upgrading equipment and services of hospitals it
controls, including this facility shown in a photo on the Web site of Cardinal
Santos Medical Center.
In a statement attached to a disclosure,
Metro Pacific said it signed an investment agreement yesterday with Central
Luzon Doctor’s Hospital (CLDH), which the conglomerate described as “Tarlac’s
largest private hospital.”
Under the
deal, Metro Pacific will infuse about P187 million in cash to obtain a 51%
equity ownership in the hospital. The conglomerate noted that CLDH is a 200-bed
hospital that was founded in 1962 by 15 doctors.
“The funding
will go towards the purchase of major medical equipment and implementation of
an infrastructure development plan highlighted by the construction of a new
building to house new operating rooms, as well as additional patient beds and
doctors’ clinics,” the statement read.
It added that
the deal is “subject to fulfilment of certain conditions” but is expected to be
finalized “some time in the third quarter.”
“We are
honored to have been given this opportunity to invest in a medical facility
like CLDH with such a long legacy as Tarlac’s leading health care provider,”
Augusto P. Palisoc, Jr., president and chief executive officer of the MPIC
Hospital Group, said in the statement.
“This is also
our first investment in a hospital in Luzon outside Metro Manila,” he added.
“Through our
contributions by way of fresh capital, professional management assistance and
group synergies, we hope to further expand the capabilities of CLDH so that
residents of Central Luzon in general, and Tarlac in particular, can continue
to receive first-class health care right in their home province.”
Upon the
deal’s completion, CLDH will become Metro Pacific’s eighth hospital investment,
following Makati Medical Center in 2007; Davao Doctors Hospital in Davao City,
2008; Cardinal Santos Medical Center, 2009; Riverside Medical Center in Bacolod
City, 2010; Our Lady of Lourdes Hospital, 2010; Asian Hospital, 2011; and De
Los Santos Medical Center just last month in which the conglomerate took a 51%
stake with a P250-million investment.
The conglomerate’s
latest investment will increase the MPIC Hospital Group’s total bed capacity to
2,137.
Metro Pacific
grew its net income by 12.97% to P2.7 billion in the first quarter from P2.39
billion in the same three months last year, driven by its utilities and
hospital businesses. Aggregate core profits of MPIC Hospital Group rose 13%
annually to P219 million in the first quarter on “higher patient revenues” and
“tighter expense controls.”
The
conglomerate’s operating revenues increased by 10.49% to P7.37 billion from
P6.67 billion, while cost of sales and services went up 3.05% to P2.7 billion
from P2.62 billion.
Shares of
Metro Pacific lost 45 centavos or 8.04% to close at P5.15 apiece yesterday from
P5.60 each on Friday last week.
Metro Pacific
is the local unit of Hong Kong-based First Pacific Co., which partly owns
Philippine Long Distance Telephone Co. (PLDT). Hastings Holdings, Inc., a unit
of PLDT Beneficial Trust Fund subsidiary MediaQuest Holdings, Inc. has a
minority stake in BusinessWorld. -- FGBD
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