Ayala Corporation

Ayala Corporation (Spanish: Corporación Ayala, formerly Ayala y Compañía) is the publicly listed holding company for the diversified interests of the Ayala Group. Founded in the Philippines by Domingo Róxas and Antonio de Ayala during the Spanish colonial rule, it is the country's oldest and largest conglomerate. The company has a portfolio of diverse business interests, including investments in retail, education, real estate, banking, telecommunications, water infrastructure, renewable energy, electronics, information technology, automotive, healthcare, and management and business process outsourcing. As of November 2015, it is the country's largest corporation in terms of assets ($48.7B).

For its real estate subsidiary, see Ayala Land.

Ayala Corporation

Type	Public
Traded as	PSE: AC
Founded	Manila, Captaincy General of the Philippines 1834 (1834)
Founders	Domingo Róxas Antonio de Ayala
Headquarters	Makati, Philippines
Area served	Philippines
Key people	Jaime Augusto Zóbel de Ayala (Chairman and CEO) Fernando Zóbel de Ayala (President and COO)
Revenue	₱237 billion (FY 2016)[1]
Net income	₱43.4 billion (FY 2016)[1]
Total assets	₱911.7 billion (FY 2016)
Total equity	₱370.9 billion (FY 2016)
Website	ayala.com.ph

History

The company began in 1834 with the formation of a distillery owned by Casa Róxas, a partnership between Domingo Róxas and Antonio de Ayala.[2] The distillery was the maker of Ginebra San Miguel and was later acquired by La Tondeña, Inc. in 1929.

In the late 19th century, Ayala participated in the construction of the Puente de Ayala (Ayala Bridge) over the Pasig River in Manila. Built of wood in 1872, the bridge was reconstructed in steel in 1908 and became the first steel bridge in the Philippines. In 1888, Ayala introduced the first tramcar service in the Philippines. Ayala was responsible for the development of Makati as the financial district of Manila and the Philippines after World War II.

In April 2010, FinanceAsia named Ayala Corporation as the best-managed company in the Philippines, as well as best for corporate governance and best for corporate social responsibility.[3]

In 2011, Ayala began building its renewable energy portfolio, beginning with a joint venture with Mitsubishi for solar power and Sta. Clara Power for run-of-the-river hydro power, and the purchase of the iconic Northwind farm for wind power. Ayala will contribute 1000 MW to the Philippine power supply, by 2015.[4] In 2015, FinanceAsia awarded Ayala Corporation as the Best Managed Company in the Philippines in the 15th annual survey of top public companies in Asia.

Attached companies and investments

Real estate Alveo Land Ayala Land Inc. AyalaLand Logistics Holdings Corp. (ALLHC) AG Holdings, Ltd.[5][6] Avida Land [7] Amaia Land [8] Bellavita Portico Land Corp. - joint venture with Mitsubishi Corporation [9] Roxas Land Corp. - joint venture with Bank of the Philippine Islands and Hongkong Land Regent Wise Investments Limited MCT Consortium Berhad (32.95% ownership, based in Malaysia) Ortigas & Company Limited Partnership - Since November 2014, Ayala and SM Prime Holdings ended their dispute over the ownership of OCLP Holdings, the parent of Ortigas & Company. Ayala has recently sealed a deal with a group led by Ignacio Ortigas for the development of the Ortigas family's land bank area.[10] Trident Infrastructure and Development Corporation (TIDC) - Formerly known as "Team Trident" and "the super consortium", is a joint-venture between Aboitiz Equity Ventures, Inc. (AEV), Ayala Land Inc. (ALI), Megaworld Corporation (MEG) and SM Prime Holdings, Inc. (SMPH). It is aimed to develop the Laguna Lakeshore Expressway and Dike Project (LLEDP).[11] Ayala-GT Capital - In May 2015, through Ayala's Alveo Land and GT Capital's Federal Land, the two corporations will develop a 45-hectare property in Biñan, Laguna, aimed towards mid-range and high-end markets.[12] Financial services Bank of the Philippine Islands (Banco Español-Filipino de Isabel II or Banco Español-Filipino) BPI Family Savings Bank, thrift/savings bank of BPI. BPI BanKo (BPI Direct BanKo), SME/microfinance oriented savings bank of BPI. Telecommunications Globe Telecom, Inc. Utilities Manila Water Company Inc. Power and transport Ayala Corporation Energy Holdings, Ltd. - is the power unit of Ayala Corporation, with investments in the development of conventional as well as solar, wind, and mini-hydro energy sources.[13][14][15][16][17] AC Infrastructure Holdings Corp. - pursues toll road, rail and airport projects under government's public-private partnership program. Muntinlupa–Cavite Expressway - The 4 km., 4-lane expressway connects the Daang Hari and Daang Reyna roads in Las Pinas/Bacoor. Light Rail Manila Corporation - a consortium between the Ayala Corporation and Metro Pacific Investments Corporation for the Line 1 Common Station, Concession, and Bacoor Extension.[18] AF Payments, Inc. (10%) - another consortium between the Ayala Corporation and Metro Pacific Investments Corporation regarding the unified Automated Fare Collection System (Beep card) for Line 1-3, and eventually also for the PNR and other public transport.[19] North Avenue Grand Central station - the Unified Grand Central Station, is an interchange station that's currently in development by its stakeholders Metro Pacific Corporation, SMC-MRT7 of San Miguel Corporation, SM Prime Holdings, and Ayala Corporation. Entrego (60%) - courier and express parcel management that serve Zalora Philippines. [20] Manufacturing and automotive AC Industrial Technology Holding, Inc. (AC Industrials)[21][22] Integrated Micro-Electronics, Inc. (IMI)[23][24] Honda Cars Makati, Inc.[25][26][27] and Honda Cars Cebu, Inc.[28] - Established in October 1990, Ayala Automotive Holdings began with a 12.9% stake in the P1.1B investment for the local operations and production plant of Honda Cars Philippines. Isuzu Automotive Dealership, Inc.[29][30][31] Isuzu Philippines Corporation (IPC) (owns 15%) Volkswagen Philippines [32] Maxus PHilippines, Inc [33] Kia Philippines, Inc Adventure Cycle Philippines, Inc. (KTM Philippines) ACI Solar Holdings North America Merlin Solar Technologies Inc.[34] AC Industrials Singapore Misslbeck Technologies GmbH [35]

Social infrastructure Ayala Healthcare Holdings, Inc.[36] FamilyDOC Clinic[37] Generika - Drugstore chain, with 50% stake MedGrocer [38] QualiMed - Hospitals and clinics, a joint-venture with Mercado General Hospital Inc.(MGHI) and Ayala Land, Inc.[39] Ayala Education, Inc. (AEI) University of Nueva Caceres - Ayala Education's flagship University [40] Affordable Private Education Center, Inc. (APEC Schools) - a joint venture between the Ayala Corporation and Pearson PLC's Affordable Learning Fund (Pearson ALF). It promotes affordable but high-quality education.[41][42] Professional Employment Program (PEP) [43] National Teacher's College (33%) Nonprofit organizations Ayala Foundation[44] CENTEX[45] Ayala Museum[46] Philippine Development Foundation[47] Ayala Technology Business Incubator[48] Filipinas Heritage Library[49] Ayala Social Initiatives[50] Business process outsourcing, Logistics and Digital businesses LiveIt Investments, Ltd.[51] Affinity Express[52][53] HRMall[54][55] Zalora Philippines Divestment Grail Research IQ BackOffice, Inc. The Insular Life Assurance Co., Ltd. - Mutual company owned by policyholders since 1987. Integreon[56][57] Philippine FamilyMart CVS, Inc. - Joint venture with Stores Specialists, Inc., Japan FamilyMart, and Itochu Corporation.[58] Acquired by Phoenix Petroleum Philippines, Inc. in 2018. Pure Foods Corporation - sold to San Miguel Corporation in 2001. San Miguel Corporation - Divested in 1983. Stream Global - sold to Convergys for $820 million.[59]

Retirement of the Ayala chairman

In January 2006, the board of directors publicly announced the decision by Jaime Zóbel de Ayala to retire as chairman of the corporation by April 2006. The board also announced his appointment as chairman emeritus upon his retirement. His eldest son, Jaime Augusto Zóbel de Ayala, succeeded him as chairman and chief executive officer, while his younger son, Fernando Zóbel de Ayala, has assumed the position of president and chief operating officer. The Zóbel de Ayala family's holding company, Mermac, Inc., continues to hold the controlling stake (49%) in Ayala Corporation.[60]

Oldest business house in Philippines

In 2014, Ayala celebrated its 180th anniversary. The company is credited for having contributed to the socio-economic development of the Philippines.[61]

References

1. "Archived copy" (PDF). Archived from the original (PDF) on 2013-12-02. Retrieved 2012-05-10.CS1 maint: archived copy as title (link)
2. Borja, Marciano (May 1, 2005). Basques in the Philippines. Nevada: University of Nevada Press. p. 124. ISBN 0874175909. Retrieved 6 June 2014.
3. "Asia's best managed companies: Indonesia and the Philippines" Archived 2011-05-11 at the Wayback Machine, Finance Asia
4. "Ayala Corp Builds Renewable Energy Portfolio with Run-of-the-River Hydropower" Archived April 23, 2011, at the Wayback Machine, The Philippine Daily Inquirer
5. "Charles H. Cosgrove J.D.: Executive Profile & Biography - Businessweek". Businessweek.com.
6. "Philippine Ayala Corp eyes Chinese, Indian real estate markets_English_Xinhua". Xinhuanet.com.
7. "Avida Properties in Vermosa Cavite, Avida Verra Settings". avidaverrasettings.com.
8. "Amaia Properties in Vermosa Cavite, Amaia Series in Vermosa Cavite". ayala-amaialand.com.
9. "Japan's Mitsubishi taps Ayala Land for Ortigas property venture". Interaksyon.com.
10. "Ayala Land, Ortigas group seal P15B deal". Thedailyguardian.net. Archived from the original on 2012-07-03.
11. "Why Ayala, Aboitiz, Sy, Tan formed 'Team Trident'". Abs-cbnnews.com. Archived from the original on 2015-02-27.
12. Cathy Yang. "DPWH mulls bid submission extension for Laguna Lakeshore PPP". Abs-cbnnews.com.
13. "Archived copy". Archived from the original on 2012-02-03. Retrieved 2012-05-10.CS1 maint: archived copy as title (link)
14. "Archived copy" (PDF). Archived from the original (PDF) on 2012-08-02. Retrieved 2012-05-10.CS1 maint: archived copy as title (link)
15. Remo, Amy R. "AC Energy of Ayala group to invest $200M in 2013". Inquirer.net.
16. Kathleen A. Martin. "Ayala Corp. allots up to $700-M for energy projects". Abs-cbnnews.com.
17. "Ayala to build 405-MW plant". Manilastandardtoday.com.
18. Camus, Miguel R. "Gov't expected to award P65-B LRT project to Ayala-MPIC group next week". Inquirer.net.
19. Agcaoili, Lawrence. "Gov't, MPIC-Ayala sign deal for MRT-LRT single ticket system". Philstar.com.
20. "Ayala Corp enters logistics business with Entrego". October 25, 2018.
21. "Ayala Corp. posts P7.3B net in first 9 mos., up 7%". Gmanetwork.com.
22. OECD, Organisation for Economic Co-operation and Development (2001). Corporate Governance In Asia: A Comparative Perspective. OECD Proceedings Series. OECD Publishing. ISBN 9789264183285.
23. "Integrated Micro-Electronics, Inc. (IMI) - IMI". Global-imi.com. Archived from the original on 2014-10-26. Retrieved 2014-10-20.
24. Mercurio, Richmond S. "Ayala-led IMI aims for billion dollar revenues". Philstar.com.
25. "Archived copy". Archived from the original on 2016-07-22. Retrieved 2016-07-09.CS1 maint: archived copy as title (link)
26. "Archived copy". Archived from the original on 2011-08-30. Retrieved 2011-06-08.CS1 maint: archived copy as title (link)
27. "Archived copy". Archived from the original on 2012-02-04. Retrieved 2012-05-11.CS1 maint: archived copy as title (link)
28. "Honda Cars Cebu Inc". Hondacebu.com.ph. Retrieved 18 July 2018.
29. "Archived copy". Archived from the original on 2011-05-14. Retrieved 2011-06-08.CS1 maint: archived copy as title (link)
30. "Library unavailable - 0007". Myvirtualpaper.com. Archived from the original on 2016-08-18. Retrieved 2012-05-11.
31. "Ayala Corporation (PSE:AC)". The Philippine Builder. Archived from the original on 2013-06-15.
32. Liza Reyes. "Ayala group brings back VW; Beetle in 2014". Abs-cbnnews.com.
33. "China's Maxus enters Philippines auto market". philstar.com.
34. Dumlao-Abadilla, Doris. "Ayala buys Silicon Valley-based solar tech firm". Business.inquirer.net. Retrieved 18 July 2018.
35. "Ayala buys German auto parts maker MT Misslbeck Technologies". Nikkei Asian Review. Retrieved 18 July 2018.
36. "Ayala Health". Ayalahealth.ph. Archived from the original on 2016-07-19. Retrieved 2016-07-09.
37. "FamilyDoc". Familydoc.com.ph. Archived from the original on 2016-05-29. Retrieved 2016-07-09.
38. "Ayala enters e-commerce through Zalora Philippines". Nikkei Asian Review. Retrieved 18 July 2018.
39. "About Us - QualiMed Health Network". QualiMed Health Network. Retrieved 9 July 2016.
40. "Ayala Education, Inc. Invests in University of Nueva Caceres | Ayala Group News Center". July 31, 2015. Archived from the original on July 31, 2015.
41. "APEC". Pearson PLC. Retrieved August 4, 2014.
42. "Tuition in new private schools: 'P65 a day'". Rappler.com. May 16, 2014. Retrieved August 4, 2014.
43. "PEP - Professional Employment Program". Ayalaeducation.com. Retrieved 18 July 2018.
44. "In Honor of the Iconoclast | The Manila Bulletin Newspaper Online". Archived from the original on 2012-09-04. Retrieved 2012-05-10.
45. "Archived copy". Archived from the original on 2012-09-08. Retrieved 2012-05-10.CS1 maint: archived copy as title (link)
46. "The Ayala Museum Makati City". Archived from the original on 2013-01-28. Retrieved 2012-05-10.
47. "Archived copy". Archived from the original on 2010-11-23. Retrieved 2012-05-10.CS1 maint: archived copy as title (link)
48. "Archived copy". Archived from the original on 2012-05-26. Retrieved 2012-05-10.CS1 maint: archived copy as title (link)
49. INQUIRER.net. "Cultural advocate to speak at Filipinas Heritage Library's workshop". Inquirer.net.
50. "Archived copy". Archived from the original on 2009-03-03. Retrieved 2012-05-10.CS1 maint: archived copy as title (link)
51. "BusinessWorld - Ayala subsidiary exits BPO company". Bworldonline.com. Retrieved 18 July 2018.
52. Pamintuan, SKETCHES By Ana Marie. "Strength in unity". Philstar.com.
53. Miguel R. Camus. "Ayala's BPO unit expects to post profit as it expands". Abs-cbnnews.com.
54. "${Instrument_CompanyName} ${Instrument_Ric} Key Developments". Reuters.com. Retrieved 18 July 2018.
55. "Ayala BPO unit buys LA outsourcing firm". Yahoo.com. Archived from the original on 2012-07-19.
56. "EDITORYAL - Kulang na naman ang mga classroom?". Philstar.com.
57. "Integreon buys Grail Research; eyes more". Reuters.com.
58. "Archived copy". Archived from the original on 2017-10-27. Retrieved 2017-10-27.CS1 maint: archived copy as title (link)
59. "Ayala Corp.'s LiveIt and partners sell stake in Stream Global to Convergys". Gmanetwork.com. Retrieved 18 July 2018.
60. "Zobel retires as Ayala chairman," Manila Bulletin, January, 2006 "Archived copy". Archived from the original on 2011-05-11. Retrieved 2010-09-16.CS1 maint: archived copy as title (link)
61. "Ayala on solid ground after 175 years", Philippine Star, March 10, 2009

External links

• Ayala Corporation website
• Ayala at 175 magazine
• Philippine Stock Exchange Information Page on Ayala Corporation