As Roxas and Company, Inc. closed 2020 and enters a new calendar year, it will be enhancing its existing strategy of selling non-essential assets, reducing debt, and growing its core businesses. Over the past two years, the Roxas Group sold raw land to major property developers, Sta. Lucia Land, Inc. and SM Prime Holdings, Inc. as part of its strategy to deleverage and enhance the value of its Nasugbu, Batangas landbank.
For the year 2020, the Roxas Group continued to implement this strategy notwithstanding the challenges it faced, including the Taal eruption, the global pandemic, and the recession. RCI and its subsidiaries successfully sold key non-performing assets to reduce its overall debt (including the sale of the land and building in Cubao at the beginning of the year and sale of raw land to NGCP for its Calaca-Nasugbu transmission line project). RCI also signed a Put Option Agreement for a maximum commitment of PhP800 Million as a fund-raising option, and re-structured existing loan agreements totaling PhP2.9 Billion to provide the Group with much-needed stability and working capital to maintain and grow its operations.
The Roxas Group’s Metro Manila-based hospitality ventures continue to be important quarantine facilities (Go Hotels) as well as an off-city relaxation/staycation option (Anya Resort Tagaytay), given the challenges and restrictions related to travel. Its coconut processing subsidiary, Roxas-Sigma Agriventures, Inc., achieved double digit revenue growth for the 3rd straight year and is providing high-quality products for export while at the same time, uplifting local farmers and its supply chain partners.
RCI is also currently pursuing major sale and joint venture deals in relation to its land holdings and will be making the relevant disclosures when agreements are closed in relation to such transactions. RCI also had some major organizational changes this 2020 due to the retirement of its President/CEO and appointment of Mr. Edgar P. Arcos as its OIC-General Manager and Chief Financial Officer.
Under its new leadership, RCI reassures all of its Group stakeholders that there will be continuity in implementing its overall strategy and best efforts are being exerted to achieve, and even surpass, the targets set for CY 2021.