![](https://investingbusinessdaily.com/wp-content/uploads/2024/01/calculator-house-investment-300x200-42shth.jpeg)
House of Investments ventures into financial services, property sectors
YUCHENGCO-LED conglomerate House of Investments (HI) on Monday said it is expanding its portfolio by entering the financial services and property sectors.
In a regulatory filing, HI said it would make financial services a core investment, replacing construction.
The move will create a new financial services unit under HI, which comprises Malayan Insurance, Sun Life Grepa Financial, Inc., and its existing 40% stake in RCBC Trust Corp., the company said.
According to the company, its venture into financial services is part of its diversification efforts and its “ambition to play a more substantial role in the Philippine financial industry.”
HI is undertaking a P15.7-billion share swap agreement in which it would issue new shares in exchange for stakes in three companies.
“HI will hold 77.32% of MICO Equities, Inc., which owns Malayan Insurance Co. (non-life insurance); 51% of Sun Life Grepa Financial (life insurance); and 49% of Grepa Realty Holdings, Inc. (GRHI),” the conglomerate said.
The main asset of GRHI is the Grepalife Building, which stands on a 5,000-square meter land along Sen. Gil J. Puyat Ave. in Makati.
HI also said it is set to increase its property portfolio in 2024 with the upcoming ownership of GRHI as well as multiple properties.
“Aiming to be an extensive conglomerate, we are putting in the groundwork necessary to make HI a bigger and better company,” HI Director, President, and Chief Executive Officer Lorenzo V. Tan said.
“This initiative is centered on the reorganization of the group to amplify its overall value proposition, demonstrating HI’s continuous business development and its pursuit of growth opportunities across multiple sectors,” Mr. Tan added.
On Jan. 2, HI said that it acquired a 184-hectare property in Tarlac province through its newly incorporated and wholly owned subsidiary Tarlac Terra Ventures, Inc.
The property is situated at Central Techno Park in Luisita Industrial Park and is seen to provide future revenues for HI.
HI is developing a 28-storey office building along Sen. Gil Puyat Ave. via its 60% stake in San Lorenzo Ruiz Investment Holdings and Services.
In 2022, HI secured full ownership of A.T. Yuchengco Centre in Bonifacio Global City, Taguig.
“These activities align with its vision to tap into the growth potential of the Philippine real estate market,” the listed company said.
“As HI embarks on this new phase of expansion, it reinforces its position as a versatile and dynamic player in the Philippine business landscape,” it added.
HI announced the expansion plans following its recent move to divest its former construction subsidiary EEI Corp.
The listed conglomerate said on Jan. 5 that it sold 4.5% of EEI Corp. to Singaporean firm Shenton Resources Pte. Ltd. for an undisclosed amount.
In May last year, HI sold a 14.35% stake in EEI to Industry Holdings and Development Corp. for P1.08 billion.
Shares of HI rose by 26 centavos or 8.07% to P3.48 apiece on Monday. — Revin Mikhael D. Ochave