House of Investments, the investment holding company of the Yuchengco Group, said Monday it is diversifying ito financial services and property development and minimizing its exposure in the construction business.
“This stragegy is aimed at bolstering the conglmerate’s portfolio and optimizing its organization structure,” the listed investment holiding company told the Philippine Stock Exchange.
The diversification is highlighted by the recent swap of P15.7 billion worth of shares to acquire a 184-hectare property in the northern province of Tarlac, through a newly-formed unit Tarlac Terra Venture Inc., and the reduction of its exposure in one of the country’s leading engineering firm, EEI.
HI said that it will undergo a transformation this year, with financial services to become its core investment instead of construction. It said the reorganization will create a new financial services unit comprised of Malayan Insurance, Sun Life Grepa Financial, and its existing 40 percent stake in RCBC Trust Corporation.
“This foray into financial services underscores HI’s commitment to diversification and its ambition to play a more substantial role in the Philippine financial industry,” it added.
