Manila Water sets sights for local, international expansion

Razon-led Manila Water Company Inc. is eyeing to expand its business here and abroad through strategic partnerships and acquisitions.

“There is a deliberate approach for expansion both domestically and abroad. I think we’re on the right track,” Manila Water chief administrative officer and head for international business Roberto Jose Locsin told reporters in an interview on Thursday.

Manila Water provides water distribution and sewerage services in the East zone which spans the cities of Makati, Mandaluyong, Pasig, Pateros, San Juan, Taguig, Marikina, most parts of Quezon City, portions of Manila; as well as the towns Angono, Antipolo, Baras, Binangonan, Cainta, Cardona, Jala-Jala, Morong, Pililia, Rodriguez, San Mateo, Tanay, Taytay, and Teresa in Rizal province.

For its local expansion, Locsin said, “In the Philippines, we’d like to focus on highly dense populations… secondary and tertiary cities.”

“We have conversations with LGUs (local government units) all across the country.

I can’t mention anything specific because a lot of this is still under discussion,” he said.

“The idea is to talk with water districts that are large enough where we can make the investment work,” he added.

Through its subsidiary Manila Water Philippine Ventures (MWPV), Manila Water pursues expansion within the country and looks for acquisitions and partnerships.

Under MWVP are water services units serving Laguna, Boracay island, Clark, Cebu, Zamboanga City, and Tagum City.

“Again, water is one of those things that you have to be patient with. You don’t rush into water deals,” Locsin said.

For its international expansion, the Manila Water official said the water company is looking at having presence in areas where Razon’s ports multinational International Container Services Inc. (ICTSI) is located.

“We have a more robust view in our international expansion... ICTSI, where they are present. That kind of gives you an indication where our interest lies,” Locsin said.

He said Manila Water’s international expansion strategy is to look for “concession based businesses” and for “BOO (build-operate-own), BOT (build-operate-transfer), PPP (public-private partnership) bulk water supply businesses.”

“We [also] have a very strong capability in industrial through our estate water business in the Philippines. Replicating that and consolidating that really gives us an opportunity to talk to a lot of people,” Locsin said. — RSJ, GMA Integrated News