LISTED ATN HOLDINGS, Inc. is looking to generate P1 billion in the next two years from selling construction materials that will help it ride on the Philippines’ increased investments on infrastructure.
In a disclosure to the exchange on Thursday, the diversified company said it is positioned to grab a significant portion of the expected demand for construction materials through the government’s Build, Build, Build program.
It said it has a stockpile of about a million ton of finished goods, more than 200 million tons of rock reserves, hollow blocks to support the construction of 5 million mass housing units, and a facility that has an hourly capacity of 500 tons.
“We are initially setting a P1-billion sales target for 2021-2022 to be derived from a combination of rock aggregates, pre-mixed concrete and boulders,” ATN Chairman and CEO Arsenio T. Ng said in the statement.
“Our finished products meet the stringent criteria of quadruple A-rated contractors after passing rigorous multiple testing standards with specific gravity of 2.7 and above, for its premium basalt rocks as conducted by international technical experts on rock quality,” he added.
Among the projects ATN identified to support infrastructure build-out are the Metro Manila Subway project, the NLEX-SLEX Connector Road project, the Bulacan Airport project, and reclamation initiatives in Luzon island.
One project that the company had already committed to participate in is the Tutuban-Malolos segment of the North-South Commuter Railway, for which it will provide rock aggregates.
“Our regular discussions with notable industry stalwarts underpin the extensive demand for our core products. To our favor, most of them have firmly indicated their voluminous rock supply requirements and intention to work with us,” Mr. Ng said.
“Nonetheless, while we aspire to be the premier construction material brand in the country, we also deeply regard ourselves as an inclusive partner of the government in nation-building and climate change resiliency development,” he added.
The Philippines is looking at a P4.5-trillion national budget for 2021, from which about P1.107 trillion may be allocated to infrastructure projects. This is about 36% higher than 2020’s reduced P785.5-billion budget for infrastructure. — Denise A. Valdez