San Miguel acquires majority interest in MRT-7 project
The San Miguel Corp. (SMC) continues to diversify as it looks for investments in other industries, such as infrastructures and renewable energy, among others.
The latest in its investment is the Metro Rail Transit Phase 7 (MRT-7), where SMC has acquired a majority stake. SMC signed a memorandum of understanding (MOU) with the controlling owner of MRT-7.
SMC president Ramon Ang and businessmand Salvador “Buddy” Zamora III entered into an agreement which allows SMC to buy the majority interest of Zamora in Universal LRT Corp. (ULC).
Zamora owns 63 percent of ULC, which int turn owns the MRT-7 project. He acquired majority control of the ULC consortium in 2008 from its orignial proponent, Israeli businessman Eli Levin.
The MRT 7 is a 22-kilometer light rail transit route that extends from the MRT Line 3′s North Edsa terminal to San Jose del Monte in Bulacan.
Morgan Stanley has been tapped by the ULC as its financial advisor to raise equity and debt needed to finance the construction of the $1.3-billion project.
The MRT 7, aside from the light rail transit system, also include an intermodal transport terminal. It is transportation hub for buses and other form of public conveyances in San Jose del Monte. It also include a 22-km, six-lane feeder highway from the northern end of the line in Bocaue, Bulacan which will link the intermodal terminal to the North Luzon Expressway.
Initially, the rail component of MRT 7 will operate 108 rail cars in a three-car train configuration. The initial capacity was projected at 448,000 passenger a day, but will eventually be expanded to accommodate as many as 850,000 passengers daily.
It will have 14 stations located at: North Edsa, Quezon Memorial Circle, University Ave., Tandang Sora, Don Antonio, Batasan, Manggahan, DoГ±a Carmen, Regalado, Mindanao Ave., Quirino, Sacred Heart, Tala and Araneta San Jose Del Monte.
Meanwhile, the intermodal terminal will be able to accommodate 60 buses and will also feature passenger facilities and amenities.
Aside from the MRT-7, SMC is also exploring the possibility of the light rail transit project in Cebu, as well as other projects in Cagayan de Oro, Davao and Iloilo for its next investments.
Earlier, it was reported that the diversifying conglomerate is keen on building a bullet train the will run the Laoag-Manila-Bicol route. According to Ang, the company commissioned a group, which includes international companies with experience in bullet trains, to conduct a study on the project.
April 5, 2010
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Tags: business news, commuters, conglomerate, economy, metro rail transit, MRT 7, Philippines, San Miguel, SMC, transporation В· Posted in: Announcement, Corporations, Customer Service, economy, entrepreneur, investments, Philippine business news, Philippines
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