Philippine firms on billion-dollar global shopping spree
Philippine firms are on an unprecedented global shopping spree, spending billions on everything from vineyards to food manufacturers and casinos, reflecting the nation’s recent economic rise.
A combination of strong domestic growth, bargain prices in retreating economies abroad and rock-bottom borrowing rates have fuelled the acquisitions, analysts said.
The Southeast Asian nation has for years exported shopping malls and junk food to the region, but cashed-up Filipino firms have diversified in recent years with acquisitions around the world and in many sectors.
“It has not happened in this rapid succession. It’s like a colonial mentality in reverse,” said Luis Limlingan, research head at Manila stock brokerage Regina Capital.
The pace of the acquisitions has startled both local and foreign investors, according to BDO Unibank chief market strategist Jonathan Ravelas. Details