NEWS

Philippines Ayala Land Tops Bid for $87 mln Transport Hub Deal

MANILA

Philippine property firm Ayala Land Inc has emerged as the front-runner to win a contract to develop and operate a 4-billion peso ($87 million) transport terminal south of the capital Manila, a government official said on Tuesday.

Ayala Land offered to take on the project for an annual government subsidy of 277.89 million pesos versus the 1 billion peso bid of Filinvest Land Inc, Transportation Undersecretary Jose Perpetuo Lotilla told reporters after sealed offers were opened.

The awarding of the 35-year concession is expected within a month and construction is scheduled to start in May next year.

The 4.7 hectare (11.61 acre ) Integrated Transport System-South Terminal Project will link the capital Manila and southern provinces, home to numerous industrial hubs. It is part of the government’s public-private-partnership programme to upgrade ageing infrastructure in one of Asia’s fastest growing economies.

Ayala Land, a unit of conglomerate Ayala Corp, expects to complete the construction by October 2017, it said in a statement. (bit.ly/1gYZTSB)

Other pre-qualified bidders Megawide Construction Corp and Datem Inc did not submit bids on concerns about the project’s commercial viability.

($1 = 45.8400 Philippine pesos) (Reporting By Neil Jerome Morales; Editing by Prateek Chatterjee)